Santa Paula-based citrus company Limoneira has announced a letter of intent to establish a joint venture with Agromin Corporation, California's largest organic waste recycler.

This partnership aims to enhance their organic waste recycling program, expanding from a 15-acre composting facility at Limoneira Ranch in Santa Paula to a larger, 70-acre commercial-scale operation to process both green and food waste.

The proposed facility is expected to yield significant financial benefits, with initial projections estimating an EBITDA contribution of about $5 million in the first year, to be equally shared between Limoneira and Agromin. 

Over the next decade, this figure is anticipated to grow to approximately $9 million annually, continuing the 50% profit-sharing model. Limoneira plans to lease the new site to the joint venture for around $0.6 million per year, which is expected to enhance the company's rental operations.

Harold Edwards, President and CEO of Limoneira Company, highlighted the partnership’s focus on sustainable agricultural practices and addressing waste management challenges in California. The collaboration with Agromin is intended to improve agricultural operations by utilizing compost to bolster soil health and promote water conservation.

Limoneira’s existing organic waste recycling initiative with Agromin has successfully converted regional green waste into mulch for agricultural use, contributing to soil erosion prevention, water conservation, weed growth reduction, and soil temperature regulation. 

The expansion project is scheduled to begin construction this year, with completion anticipated in 2026. It was supported by a $10 million grant from the State of California's CalRecycle Organics Grant Program, which aims to increase organic recycling capacity and reduce greenhouse gas emissions statewide. The facility is projected to process around 295,000 tons of organic waste annually once fully operational.

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