Largest Ethanol Plant Being Sold

By CnAgri2012-10-18 20:01:38 Print

Advanced BioEnergy, LLC announced it plans to sell its Fairmont, Neb., ethanol plant to Wichita, Kan.-based Flint Hills Resources. The transaction is expected to close later this year and is subject to regulatory approval.

The Fairmont ethanol plant began production in October 2007. With an annual capacity of more than 115 million gallons, the plant produces more than 320,000 tons of dried distillers grains each year, as well as more than18 million pounds of non-food grade corn oil. The plant has about 50 employees.

"The announcement today underscores the value we have created over the past four years developing the Fairmont plant into a superior ethanol production asset," said Richard Peterson, CEO of Advanced BioEnergy. "Maximizing the value of our business has been a priority in the face of continuing market consolidation and compressed operating margins as the industry works toward long-term alignment of supply and demand."

Advanced BioEnergy elected to engage in a process to solicit interest from potential buyers of the Fairmont facility after being approached by a potential buyer earlier this year. T

The company believes the transaction will be beneficial to all parties including its more than 1,200 unit holders.