VERBIO acquires DuPont’s Iowa cellulosic ethanol plant
VERBIO North America Corporation, headquartered in Grand Rapids, Michigan, U.S.A., a 51% subsidiary of VERBIO Vereinigte BioEnergie AG, has signed a contract with E.I. DuPont de Nemours to purchase a cellulosic ethanol plant located in Nevada, Iowa, U.S.A. The ethanol plant has a capacity for processing 300,000 tons of corn stalks to approximately 115,000 cubic meters of ethanol.
This transaction allows VERBIO to enter the world’s largest biofuel market using its unique straw bio-methane technology.
The purchase includes about 100,000 tons of baled corn stalks, which is located at multiple sites within a 50-kilometer radius of the plant.
Pending resolution of certain conditions, the closing is expected by year-end 2018.
In the first phase planned expansion, VERBIO will supplement the existing facility by constructing a straw bio-methane plant with a thermal output of approximately 20 megawatts.
Additional investment costs, taking into account existing infrastructure and usable plant components, are expected to amount to approximately USD25 to 35 million.
The project costs will be financed by using VERBIO AG’s freely available cash and internal cash flow.
VERBIO is one of the leading independent producers and providers of biofuels and is at the same time the only large industrial producer of biodiesel, bioethanol and biomethane in Europe. The production capacity is approximately 470,000 tons of biodiesel, 260,000 tons of bioethanol and 600-gigawatt hours of bio-methane per year. In the production of its highly efficient fuels, the company uses energy-saving production processes and innovative technologies of own development. VERBIO delivers its products directly to the European mineral oil conglomerates, mineral oil trading companies, independent gas stations, freight forwarders, municipal utilities, and vehicle fleets. In addition, VERBIO markets high-quality pharma glycerine for the consumer goods and cosmetics industry.