Two New Ethanol Plants Planned for Iowa
Construction of two new ethanol plants in Iowa will offer area farmers stronger local demand for their corn.
Bill Todorof, chairman of Cedar River Ethanol LLC, and Unity Ethanol LLC, made double announcements Wednesday, Dec. 27 of his companies’ plan to construct two ethanol plants – one in Ottumwa and the second near Ainsworth/Columbus Junction, IA.
Technology providers for both plants are in the final stages of negotiation.
Todorof also says that both plants which are separate entity’s will be zero discharge, zero waste sustainable ethanol plants where natural energy sources will be utilized to supplement fossil fuel usage.
Cedar River Ethanol’s $140 million plant near Ainsworth and Columbus Junction will use approximately 25 million bushels of corn per year to produce 75 million gallons of ethanol.
The plant is expected to break ground in late July 2007 and be operational by late 2008.
The second plant, Unity Ethanol’s $190 million facility in Ottumwa, will require 39 million bushels of corn to produce 110 million gallons of ethanol.
Groundbreaking is scheduled for late March 2007. Operation date is set for third quarter of 2008.
Todorof says a feasibility study by Pro-Exporter, an independent consulting firm in Kansas, was completed recently.
”The findings were very positive,” says Todorof. ”Both locations offer all the resources we need to successfully and efficiently operate an ethanol plant.”
Cedar River and Unity Ethanol plants are located approximately 50 miles apart, however, Todorof says the distance is not ”too-close-for-comfort, perhaps even optimum.”
”We wanted to source the corn needed for both ethanol plants within the vicinity,” he explains.
”We’ve established a grain elevator origination network that will provide more than half of the grain needed for both plants; the rest will be sourced through a farmer grower network that eventually produces trait specific corn to enhance our plant’s yields. ”
”We are happy with our choice of location for both plants,” says Todorof, adding area communities welcome the proposed development.
”We also have all the necessary resources such as rail, electricity and natural gas, water supply and more grain origination close-by.”
”We are also finalizing our choice of contractors for both plants,” Todorof says.
St. Paul, MN-based NewMech Companies, Inc. is named one of the builders while negotiations are ongoing for the second builder.
For more information, call Bill Todorof or Dave Reiff, Vice-Chairman of Cedar River LLC, at 641-472-4448, and Unity Ethanol LLC, at 641-472-4410.
