Flint Hills Resources gobbles up two Iowa ethanol plants
Flint Hills Resources plans to acquire ethanol plants in Iowa Falls and Fairbank, Iowa. Flint Hills Resources signed an agreement to purchase the plants from Hawkeye Renewables. 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 gpy plant in November 2004, the Iowa Falls ethanol plant doubled its capacity to 100 million gpy in March 2006. The Fairbank plant was built in 2006 and is capable of producing 115 million gpy of ethanol. Both plants were designed by ICM and built by Fagen, Inc.
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,” said Mr. 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.
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