June 30, 2010
POET announced today the purchase of a 90 million gallon-per-year ethanol plant located just outside Cloverdale, Ind. and previously operated by Altra Biofuels.
The transaction closed June 29. Once open, the Cloverdale plant will be POET's fourth in Indiana and 27th overall, putting annual ethanol production capacity at 1.7 billion gallons per year.
POET CEO Jeff Broin said the productive agriculture community in and around Cloverdale, coupled with POET's unique processes and technology, will make POET Biorefining -- Cloverdale a leader in the industry.
"We have been looking at potential acquisitions for some time," Broin said. "This plant, in this community, will be a perfect fit for what we do at POET."
POET will install the company's proprietary process technology and improve the original plant design. The approximately $30 million in upgrades include BPX, POET's patent-pending fermentation process which uses enzymes instead of heat, reducing energy use by 10-15 percent. In addition, POET will install a water recovery system and new pollution control equipment. POET expects to reopen the plant in about 9 months.
A number of other processes could be installed at the plant in the future, including cellulosic ethanol production from corn cobs, which POET will commercialize soon in Emmetsburg, Iowa.
"This plant has all the ingredients we need to put together a top operation: a steady corn supply, rail access, a great workforce and productive farmers," Broin said. "The ample corn supply in the area includes significant quantities of agricultural waste, making the plant a likely location for cellulosic ethanol production in the future."
Source : Press Release