Idled plants restart, new plants on the way

Ethanol Producer Magazine
May 2010
By Luke Geiver

Add another term to the list describing the ethanol industry: emergence. This spring several plants have emerged from Chapter 11 bankruptcy and reorganization proceedings. After a year in the reorganization process, Aventine Renewable Energy Holdings Inc. announced in March the company had successfully completed the process. Like many plants, Aventine cited unfavorable market conditions stemming from high corn prices and low petroleum costs as the main factor pushing the company into Chapter 11. Although the Pekin, Ill., Aventine facility was able to secure debtor-in-possession financing to remain operational, work on two other Aventine plants nearing completion was halted. Now, the Aurora, Neb., and Mt. Vernon, Ind., facilities will resume construction with a completion date set for fall.

“I am very optimistic about the ethanol industry and our success going forward,” said Thomas Manuel, the company’s new CEO and chief operating officer. “The ethanol industry has sound, long-term prospects, and we anticipate a strong rebound as the biofuels mandate continues to increase.”

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