By Jon Woetzel, Manager Technical Services, Energy Lubricants, CHS from the Cenexperts blog
Harvest is tough. Once you’ve made it through some of the hardest weeks of the year, both you and your equipment deserve some R&R. But before your machines take a long winter’s nap, it’s important to get them ready for sitting dormant in the cold.
Even when your equipment isn’t running, lubricants play an essential role in keeping it protected. That’s why, as part of your yearly winterizing routine, you’ll want to assess your equipment’s fluids. Use these four lubricant tasks to protect your rigs all the way to spring.
1. Get a used oil analysis
Throughout harvest, your machines work overtime to meet the grueling demands of a farm’s busiest time of year. By the end of the season, all that wear and tear can take a toll on an engine, and seemingly small issues at this point can lead to bigger problems come spring.
A used oil analysis is an easy way to catch early warning signs of major issues that could be brewing inside your engine. This is because oil is the lifeblood of your equipment, touching nearly every part inside the engine.
Used oil analysis works by detecting any trace elements present in a sample of used oil from inside your rig. Based on the elements that turn up, lab technicians can identify a number of issues that may be waiting to happen in specific areas of your engine. Fix any issues before putting your equipment away, and you’ll set yourself up for success come time for planting. To get started, you can purchase a used oil analysis kit from your local CHS energy specialist.
2. Replace the engine oil
Once you’ve performed a used oil analysis, you may also want to consider an oil change before you put your machines away for winter. This is especially true if the results of your analysis reveal any traces of wear. After you make any repairs recommended by your analysis, give your machines some fresh, clean oil so you don’t leave acids and contaminants festering inside your engine for months on end.
Even if your used oil analysis comes back clean, you may still want to consider replacing your oil before winter. Remember, the longer an oil has been used, the less effective it becomes at protecting against rust and corrosion.
If you’re getting close to your change interval, it’s best to replace oil this season instead of waiting until spring. Just be sure to run the engine for at least 10 minutes before storing your rig to allow the oil to circulate. For protection all winter long, try a high-quality engine oil from Cenex such as MAXTRON® ENVIRO-EDGE® synthetic diesel engine oil, engineered for maximum lifespan and excellent protection against corrosive wear.
3. Top off your hydraulic tank
Another lubricant tip for winterizing your equipment is to top off hydraulic tanks. To function properly, hydraulic systems need to breathe, but since they’re not airtight, they’re prone to letting in moisture as equipment sits all winter. Condensation inside a hydraulic system is bad news due to the harmful corrosion it may cause.
The best way to prevent condensation in your hydraulic system over the winter is to minimize the airspace inside. The less opportunity air has to get in, the lower the chance that moisture will collect. Check your hydraulic fluid level, and if it’s not full, go ahead and top off your tank. Be careful, though, not to overfill. To further minimize condensation, you may also want to consider switching to a hydraulic fluid designed to prolong the life of your system’s seals, like MAXTRON® THF+.
4. Grease up moving parts
Finally, once you’ve taken care of your machines’ other fluids, complete the job by greasing any moving parts. Even though they’ll be sitting still all winter, moving parts can still corrode.Not only will a fresh coat of grease keep your equipment from rusting through the winter but it will also get it moving again easier come spring. For superior protection against rust and corrosion, try a Cenex grease such as MAXTRON® FS.
When the hard work of harvest is over, it can be tempting to overlook details like winterizing your equipment. But the period right after harvest is a valuable opportunity to take care of maintenance tasks that can fall through the cracks during busier times of year. Give your machines some TLC now, and you can both kick back soon for some well-deserved hibernation.
When you choose to do business with CHS, you are connected to a
world of opportunities powered by local experts.
As the nation’s leading farmer-owned cooperative, CHS creates
connections that help its owners build their operations and their communities.
In celebration of National Co-op Month, we dug deep into the cooperative model to reveal seven benefits of being an owner of CHS. Benefits that extend far past the field. Watch a video on the benefits of cooperative ownership.
11, CHS celebrates 811 Day and encourages you to call 811 before doing any kind
of digging. The process is simple: call 811 three days before digging, wait for
underground utilities to be marked for free and avoid breaking ground about two
feet from the marked utilities.
Time. We never seem to have enough of it. And every new tech tool seems to just add another online destination with a singular purpose. But not for CHS patrons. With a simple single sign-on, producers can see their CHS business activity all in one place, even if they have multiple accounts. Contracts, bookings, prepays, scale tickets, payment history and more for agronomy, energy, grain and seed business can be viewed, sorted – even downloaded – from anywhere, anytime. All from one, web-based app: MyCHS.
The biggest advantage? Saving time. CHS transactions are a touch away – whether in front of a laptop in a farm office, on a tablet in the field or on a phone in the tractor cab.
“I can customize what I can see,” says Lucas Goodwin, Minnesota farmer and MyCHS user. “Filtering is easy. And navigating between all the separate components, like the contracts and the settlements, is logical and quick.”
Lucas was among a group of CHS customers picked to give app feedback in small focus groups and then as a beta user, comparing the new MyCHS with the former Customer Resources tool. Getting customer feedback early and ongoing during the development process was critical to making sure the web-based app fit the way today’s farmer wants to use technology.
“It’s a nice upgrade,” he concludes of MyCHS. He was a user of the former application. The recent upgrade provides all producers doing business with CHS with the data they need to make timely, information-rich decisions.
“Our CHS producers have continued to advance and look for ways to become the best they can be in some of the toughest markets they’ve experienced,” says Megan Schmit, director, Grain Procurement for CHS Country Operations division. “Even our producers who may not have called themselves tech savvy are using more and more tools to better their operation and MyCHS is
giving them access to their total business with us, not just grain.”
Megan was part of the CHS team helping connect with farmers and finding out what would serve their information needs.
“I’m excited that we’re not stopping here,” she adds. “We’re going to continually take feedback from our producers and employees to keep improving and enhancing this tool for years to come.”
MyCHS is a free web-based app, available to any farmer or rancher doing business with CHS. It’s easy to register here and start seeing what MyCHS can do to help you.
Company reports net income of $650.9 million for first nine months of fiscal year
CHS Inc. today announced its financial results for the third quarter and the first nine months of fiscal year 2019.
Net income of $54.6 million for the third quarter of fiscal 2019 compared to $181.8 million for the restated third quarter of fiscal 2018. One-time pre-tax gains of $124.1 million in the restated third quarter of fiscal year 2018 were not realized in the same time period in fiscal 2019. One-time pre-tax gains of $19.2 million related to the purchase of the remaining 75 percent share of West Central Distribution, LLC were realized in the third quarter of fiscal 2019.
Consolidated revenues of $8.5 billion for the third quarter of fiscal 2019 compared to $9.1 billion for the restated third quarter of fiscal 2018.
Net income of $650.9 million for the first nine months of fiscal 2019 compared to $535.5 million for the restated first nine months of fiscal 2018, an increase of 21.5 percent.
“Our cooperative continues to perform well through the first nine months of the fiscal year. Though our net income was down compared to the prior year third quarter of fiscal 2018, the first nine months of fiscal year 2019 have been strong,” said Jay Debertin, CHS president and CEO. “During the third quarter, we completed the acquisition of the remaining 75 percent ownership interest in West Central Distribution, LLC, a full-service wholesale distributor of agronomy products headquartered in Willmar, Minnesota. The acquisition demonstrates our commitment to provide more of the products, services and technology our owners need to compete. Scheduled maintenance at our refinery in McPherson, Kansas, slowed production of refined fuels; but that maintenance investment will enable CHS to better serve our owners and rural America in the long term. We are committed and working hard to maximize earnings for our owners by creating connections to empower agriculture.
“The uncertainty of the international trade markets continues to create difficult circumstances for all who work in agribusiness. Weather challenges led to late planting that has hurt our owners – America’s farmers and cooperatives that help grow the food to feed the world,” Debertin said. “We traveled throughout our trade territory this spring to meet with our owners, and every location we visited was impacted by heavy spring rains and late planting. At CHS, we are working to navigate external challenges, and we are committed to leveraging the strength of our supply chain to help our owners and customers navigate as the year progresses.”
Third Quarter Fiscal 2019 Business Segment Results
The following business segment results were reported for the third quarter of fiscal 2019 as compared to the restated third quarter of fiscal 2018.
The $92.7 million decrease in Energy pretax earnings reflects:
The impact associated with the turnaround – scheduled maintenance to repair and improve operations – at our McPherson, Kansas, refinery.
The return of Canadian crude oil prices to more normalized levels, where they are expected to remain for the rest of fiscal year 2019.
The gains realized in fiscal year 2018 of sales of 34 Zip Trip stores and the Council Bluffs pipeline that did not recur in fiscal year 2019.
The $39 million decrease in Ag pretax earnings was driven by:
Decreased margins and volumes for grain and oilseed, poor weather conditions including heavy snow and rainfall, historic flooding on waterways and continuing global trade tensions.
Increased loan loss reserves associated with the challenging agricultural environment.
The $39 million decrease in Ag pretax earnings was driven by:
Increased market pricing of urea and urea ammonium nitrate, which are produced and sold by CF Nitrogen, of which CHS is a part owner.
CORPORATE AND OTHER
The $44.9 million decrease in Corporate and Other pretax earnings reflects:
By Steve Hinds, Senior Business Development Manager, CHS Refined Fuels Marketing from the Cenexperts blog
Incompatible people are often said to mix like oil and water.
But if you really want to talk about an unfortunate combination, look no
further than fuel and water. Water in a machine’s fuel line can be a one-way
ticket to trouble.
The good news about water damage is it’s preventable. Here’s
what you need to know about diesel fuel water contamination and how to keep it
from sinking your operation.
Top problems caused by water in diesel fuel
From reduced performance to major engine problems, water contamination is a serious issue for diesel equipment owners. Here are the most common problems that can occur when water contaminates fuel.
Microbial growth: Water is a hotbed for microorganisms. And a microbial invasion can spell disaster for a piece of equipment. These microscopic parasites can plug fuel pumps, injectors and filters, potentially leading to equipment breakdown.
Fuel filter distortion: Today’s high-performance farm machines have tight tolerances, so fuel filters are essential for keeping impurities out of engines. But if a fuel filter is exposed to water, it becomes distorted, allowing impurities to pass through into the engine.
Corrosion: Last but not least, corrosion is another major problem that can result from water-contaminated diesel fuel. Metal parts, from fuel tanks to injector pumps, can rust if they come into contact with water.
How to keep water out of diesel equipment
Your fuel system is bigger than just the fuel line inside your equipment. To keep water out of your machinery, it’s important to tackle the problem at its source: your bulk fuel tank. Here are two easy preventive actions.
Perform regular bulk tank maintenance: Keep your operation running smoothly by establishing a bulk tank maintenance routine. A few easy things you can do regularly include draining and cleaning your tank, cleaning the pump screen and changing pump filters seasonally.
Collect a tank sample: Keep a lookout for water in your bulk tank by taking occasional tank samples, which give you a valuable snapshot of the conditions inside your tank. To learn more about tank sampling and to purchase a tank sample, contact your local Certified Energy Specialist.
Choose fuel that fights water from the start
One of the simplest ways to protect your operation from water damage is also one of the most overlooked: fuel selection. Even for experienced farmers, it can be easy to fall into thinking that fuel is fuel — but the truth is, all diesels are not created equal.
Switching to a high-quality fuel like Cenex Ruby Fieldmaster® premium diesel can go a long way toward protecting your operation from water damage. That’s because Ruby Fieldmaster contains an industry-leading additive package, including powerful demulsifiers that keep water out of equipment.
Demulsifiers work by separating water from fuel, and they’re
active even while the fuel sits inside your bulk tank. Thanks to these
demulsifiers, extracted water sinks to the bottom of the tank and collects
safely beneath the fuel — keeping water from ever entering your equipment in
the first place.
With a few simple precautions, fuel contamination is easy to prevent. Cut corners, though, and it could leave your operation…dead in the water. Start protecting your operation today with Premium Diesel from Cenex.
Missed the 2019 CHS Owners Forum in your area? Tune in for the CHS Owners Forum webinar Friday, June 28, 1:00 to 2:30 p.m. CT, to hear business updates from CHS leadership including CHS President and CEO Jay Debertin. We will also take a look at industry trends and ask for your input on how we can make connections that support long-term success. Register here.