GP Aggregates – ARPA Finalize Rail Spur Sale

GP Aggregates, LLC (“GP”), a Colorado company conducting various business activities, including aggregate mining operations in and around Lamar, CO has purchased certain rail facilities and a rail spur that formerly served the Lamar Repowering Project power plant from the Arkansas River Power Authority (“ARPA”).

The rail facilities include track improvements connected to the main BNSF rail line that serves Lamar and a rail spur that extends from the track improvements north to the Arkansas River. The sale is part of ARPA’s plan to sell the Lamar Repowering Project assets for the financial benefit of the ARPA member communities.

The acquisition of the rail facilities by GP will allow it to expand its industrial operation east of Lamar and enhance its burgeoning business operations. “We viewed this as an opportunity to not only increase operations, but provide greater industry and job growth potential for Lamar, Prowers County, and the entire region,” said Karl Nyquist, Manager of GP.

GP’s aggregate operation east of Lamar began approximately 24 months ago and has created 20 jobs per year to date, with further expansion and additional job creation on the horizon.  GP is working to expand its delivery service area for its gravel and sand products.   The initial plans call for additional rail construction to serve GP’s aggregate operations and is expected to occur over the next several months.  The expansion, combined with the acquisition of the rail facilities, will greatly improve GP’s options for transporting and shipping its products to a larger market area.

Rick Rigel, General Manager for ARPA, said that “this was an exciting opportunity for ARPA to do business with a local company that is providing jobs and industrial development that benefits the entire region.” “Job creation and business investment such as this, in any one of our member communities, benefits the entire ARPA membership.” Rigel went on to say that ARPA is in the process of selling the Lamar Repowering Project assets and is currently marketing the plant boiler and turbine assets on a worldwide basis.  ARPA hopes to complete the sale of the entire plant within the next few months.

GP Aggregates is a Colorado Limited Liability Company headquartered in Littleton, CO.

ARPA provides wholesale electricity to its member communities of Holly, La Junta, Lamar, Las Animas, Springfield and Trinidad.