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Siouxland Ethanol celebrates startup

Hundreds take tours of the 50-million-gallon plant

By Michele Linck Journal staff writer | Posted: Tuesday, June 19, 2007
JACKSON, Neb. -- Siouxland Ethanol opened its doors to hundreds of visitors Monday.

The event was to celebrate the plant's first full month in operation and recognize many who had a role in it.

"It's nicer and cleaner than any other plant we've been in," Steve McPeek, an investor in the plant, said after his tour. A resident of Bronson, Iowa, he said he has invested in "more than one" ethanol project and that everything about Siouxland Ethanol appeared to be well-run. "I hope it makes us a lot of money."

The Rev. David Liewer of Newcastle, Neb., also an investor, said, "I think it's a wonderful opportunity. I'm looking forward to the United States being able to wean itself off of Mideast oil and this is a part of that."

People attending the open house were greeted at the parking lot by riders on horseback then transported in trolleys pulled by E-85-powered trucks to the plant, where tours were given. Speeches, including one by Gov. Dave Heineman, were given and a ceremonial green ribbon was cut. Sandwiches were served to mucic from a live rock band.

Pam Miller, Siouxland Ethanol vice president, recounted how the 50-million-gallon-a-year plant grew out of the founding of the Dakota County Economic Development Committee, whose focus was increasing the county's tax base and creating jobs. "I think we were successful," she told about 300 people seated outdoors at tables and standing under tents. The giant plant hummed in the background.

The $100 million ethanol plant, about four miles west of Jackson on U.S. Highway 20, broke ground Nov. 4, 2005, received its first delivery of corn on April 19, produced its first ethanol on May 15 and shipped it on May 25. The facility was designed and built by Fagen Inc., and the contractor was ICM Process Design.

Plant manager Chuck Hofland noted that by August or September, it will be operating more efficiently as part of its power is supplied by methane from the L.P. Gill Landfill a mile away, once a compressor is delivered.

The governor called the facility "the result of true community cooperation" and "a logical fit for the area." Heineman said he was especially impressed with the quick capital campaign; Siouxland Ethanol raised $36 million in two weeks during nightly meetings in area communities.

"It's good for our farmers, good for our environment and good for our communities," he said.

Ron Fagen of Fagen Inc., predicted a long and prosperous future for the plant, joking that it had a 100-year guarantee. "It's not going to close up its doors and move to a foreign country for cheaper labor," he promised.

Ron Lamberty of the American Coalition for Ethanol urged his listeners to counter misinformation about ethanol. He said it is raising the price farmers get for corn, but not the price of food. "It's the gasoline and the diesel used to transport all the food" he said.

His state counterpart, Todd Sneller, of the Nebraska Ethanol Board noted that the first ethanol plant in the state started up 11 years ago. Ten years ago Nebraska had six ethanol plants and now, Siouxland Ethanol is its 15th. Together they produce 1 billion gallons of the corn alcohol fuel each year, he said.

Miller read letters of congratulations from U.S. Sens. Chuck Hagel and Ben Nelson and First District Congressman Jeff Fortenberry as well as from state Sen. Pat Engel, none of whom could attend the event.

Two more hours of plant tours followed the cutting of the green ribbon at the close of the formalities.

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Story Comments

Sven wrote on Jun 20, 2007 11:44 AM:

" U235, nuke energy is not the answer, at least not untill we can find a safe way to produce it and a safe way to deal with the waste. Wind, solar, hydro and new tech. is what we need. Ethanol is not an answer for the reasons stated here as well as the fact that it will stil add to global warming and the distruction of our planet. "

U235 wrote on Jun 20, 2007 8:47 AM:

" I agree that we have just about enough ethanol plants, and that their day of reckoning will come. What this country needs is to re-dedicate itself to nuclear energy, which will solve our energy dependence woes more effectively than anything. "

tony wrote on Jun 19, 2007 4:50 PM:

" what happens when corn goes to 6 dollars? any margin in ethanol then? good luck investors in ethanol plants now, you will need it in a year "

Do Some Research! wrote on Jun 19, 2007 4:00 PM:

" Ethanol is a joke! The only thing Ethanol is doing is raising YOUR grocery bill. Ethanol gives lousy gas mileage to your vehicle. It is not cheaper than regular gas, not enough to make a difference. And WHAT do you think is going to happen the first year we have a horrible corn crop because of lousy weather? Grocery prices are going to shoot through the roof and so are gas prices. It's too bad the average person just doesn't sit and think about all the hype being shoved down their throat. Our government has NO intention of finding alternative fuel sources and they are just using Ethanol as a distraction and to make a quick buck. They are raping us already with high gas prices, look at the profits. It is to their benefit to cry "OIL" shortage. And where do people think that a new refinery in Elk Point is going to be beneficial to our community? They are going to make this area another Chicago and most of us won't be able to afford to live here unless we are all lucky enough to get one of those $30.00 an hour jobs at the refinery! "

JJ wrote on Jun 19, 2007 10:10 AM:

" Congratulations Siouxland Ethanol! I think this plant will be all about benefits for the community - jobs and less reliance on foreign oil, to name only two. "

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