Flint Hills Resources to Acquire Two Iowa Ethanol PlantsWICHITA, Kan.--(BUSINESS WIRE)--Flint Hills Resources announced plans today to acquire ethanol plants in Iowa Falls and Fairbank, Iowa. Flint Hills Resources signed an agreement yesterday to purchase the plants from Hawkeye Renewables.
"We're very pleased to add the Fairbank and Iowa Falls plants to our growing renewables business"
The deal is expected to close early in the first quarter of 2011. The purchase price will not be disclosed.
"We're very pleased to add the Fairbank and Iowa Falls plants to our growing renewables business," said Brad Razook, president of Flint Hills Resources. "The acquisition enhances our existing renewables business and contributes to our market leadership in producing transportation fuels."
Originally constructed as a 50 million-gallon-per-year plant in November 2004, the Iowa Falls ethanol plant doubled its capacity to 100 million gallons per year in March 2006. The Fairbank plant was built in 2006 and is capable of producing 115 million gallons of ethanol annually. Both plants were designed by ICM and built by Fagen, Inc.
"These are quality plants with excellent workforces and strong supplier networks," said Razook.
Each plant employs approximately 50 people and conducts business with hundreds of local suppliers.
"As with all of our facilities, our top priorities for these plants will be their continued safe and environmentally responsible operations," added Razook.
Flint Hills Resources' Iowa operations include a fuel terminal and asphalt plants in Algona, Davenport and Dubuque. The company also distributes refined fuels throughout the state.
Last fall, Flint Hills Resources acquired ethanol plants in Menlo and Shell Rock, Iowa. The company's renewables business also includes an interest in a biodiesel feedstock development company in California.
About Flint Hills Resources
Flint Hills Resources is a leading provider of transportation fuels used in the Upper Midwest. Based in Wichita, Kan., Flint Hills Resources owns and operates refineries and chemical plants in Minnesota, Alaska, Illinois, Michigan and Texas, as well as two ethanol plants in Iowa. The company also owns a system of refined products and asphalt terminals that serve Texas and the Midwest. It markets products such as gasoline, diesel, jet fuel, ethanol, olefins, polymers and intermediate chemicals, base oils, and asphalt.
Posted: January 7, 2011
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