Green Plains says closes $237 million buy of Abengoa ethanol plants
Source: By Platts • Posted: Thursday, September 29, 2016
Green Plains Monday completed its $237 million purchase of three ethanol plants from Abengoa Bioenergy, the company said.
The ethanol plants are in Madison, Illinois; Mount Vernon, Indiana; and York, Nebraska. All three plants are currently operational with 236 million gal/year of capacity, Green Plains said in a statement.
Green Plains immediately sold the storage capacity at the plants to its Green Plains Partners LP for $90 million, it said.
“In the past 12 months, we have expanded our ethanol production capacity by approximately 50 percent,” said Todd Becker, Green Plains’ president and CEO. “Adding the Illinois and Indiana locations provide us with a bigger and more diverse geographic footprint.”
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Green Plains’ initial bid for the plants appeared in court documents filed June 12 and the company was the successful bidder in the August 22 auction.
Becker in August highlighted the Madison and Mount Vernon plants’ proximity to the Mississippi River as a means of supporting Green Plains’ planned export terminal in Beaumont, Texas.
–Josh Pedrick, joshua.pedrick@spglobal.com
–Edited by Richard Rubin, richard.rubin@spglobal.com