Koch Industries subsidiary buys Fairmont, Nebraska ethanol plant
Source: By the Lincoln Journal Star • Posted: Wednesday, October 17, 2012
Advanced BioEnergy ethanol plant in Fairmont.
Advanced BioEnergy, LLC announced plans to sell its ethanol plant in Fairmont to Flint Hills Resources of Wichita, Kan.
Flint Hills Resources is a refining, chemicals and biofuels company with operations primarily in the Midwest, Texas and Alaska. Flint Hills Resources is an indirect, wholly owned subsidiary of Koch Industries, Inc., one of the largest private companies in the world and a holding of the billionaire Koch brothers, Charles and David.
The transaction is expected to close later this year and is subject to regulatory approval. Terms were not disclosed.
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 than 18 million pounds of non-food grade corn oil, Advanced BioEnergy said. The plant has about 50 employees.
Advanced BioEnergy said it will continue to operate its two ethanol plants in Huron and Aberdeen, S.D., after the transaction closes.
In December, Flint Hills acquired the bankrupt Beatrice Biodiesel plant for $5 million. Koch Fertilizer, another subsidiary, owns a fertilizer manufacturing plant at Beatrice and storage and distribution terminals at Aurora and Greenwood.