MFA Oil Company, a farmer-owned energy supply cooperative, recently declared $11 million in patronage will be distributed to its members as part of the benefits of membership in the cooperative.
The announcement was made at the 90th Annual MFA Oil Delegate Meeting which was held in Branson, Mo., on December 8 and 9.
The $11 million in patronage includes a 100% payout of the company’s earnings for the 2019 fiscal year ($3 million) and retirement of member equity from 2006 ($2.9 million) for a total of $5.9 million in cash returned to members. The remaining $5.1 million is non-qualified patronage that is being passed on to the membership from a federated cooperative that MFA Oil does business with, which will be redeemed in the future.
MFA Oil members are eligible to receive patronage refunds based on a percentage of the total money they spend on products such as gasoline, diesel, propane and lubricants purchased through the company’s refined fuel and propane plants, as well as at Petro-Card 24 stations. Customers who are agricultural producers or owners of land used for agricultural production and who purchase at least $1,000 of product from MFA Oil during its fiscal year (Sept. 1 through Aug. 31) are eligible for membership in the cooperative.
In other business at the meeting, two farmers were elected to the MFA Oil Board of Directors. Mike Moreland, a third-generation farmer from Harrisonville, Mo., who raises corn, soybeans and cattle with his brother and sons, was elected as the director for the West Central District. Scott Mitchell, of Lonoke, Ark., a fourth-generation farmer who raises rice, corn and soybean with his wife and two sons, was elected to represent the company’s Mid-South District.
MFA Oil President and CEO Jon Ihler, who was appointed by the board in July to lead the company, spoke to the assembled delegates about the company’s renewed focus on delivering exceptional customer service and an outstanding buying experience.
“All of our businesses are aligned with the same strategy – putting our customers first,” Ihler said. “Our whole purpose as a co-op is to serve our members and customers. That will always be our top priority.”