Sioux City Journal

Hyperion files more options to purchase land for refinery

By Michele Linck Journal staff writer | Posted: Saturday, July 28, 2007

ELK POINT, S.D. -- Hyperion Resources filed more documents earlier this month defining options purchased on more than 600 additional acres, bringing its total filings to more than 2,000 acres.

In June, the purchase of options on nearly 1,471 acres was filed with the Union County Register of Deeds office by R.E. White, an "authorized agent" of the Elk Point Economic Development Corp. The first options were filed June 21, 22 and 25, following the Dallas-based energy company's June 13 revelation that it is the mysterious "Gorilla" buying up options on land in Union County. It acknowledged White is working on its behalf.

The most recent batch of five documents was filed on July 17, but denote "effective dates" between May 9 and July 5. As with the previously filed options, the initial agreements expire at 11:59 p.m. on Aug. 31 and are renewable for three additional periods of one year each.

Among the newest filings are options on two 80-acre parcels and a 69-acre parcel owned by Darin O. Erickson, Gorman C. Erickson Jr., Randy Erickson, Devin L. Erickson and Cory Erickson.

Dakota Eastern, Ltd., an Elk Point-based corporation headed by Gayle Slattery, sold options to purchase 607 acres in eight parcels ranging in size from 40 to 160 acres.

Phyllis L. Edwards, of Woodbury, Minn., sold options to purchase nearly 156 acres. Alyce Law signed an option agreement on 160 acres.

Nearly all the recently optioned land lies either in the Spink or Brule townships, in which lies the roughly 4-mile square territory targeted by Hyperion -- the area south of Spink and north of Elk Point.

Hyperion said southern Union County is one of several Midwest sites it is considering for construction of a "first-of-its-kind" "green" hydrogen-powered oil refinery which would process 400,000 barrels of Canadian oil per day. The company said it wants to amass about 5,000 acres for the project. The refinery itself would have a footprint of about 2,000 acres, and the rest of the land would serve as a buffer.

There is no way to know how many total acres the company has purchased options to buy because South Dakota does not require options to be registered. Filings are done strictly at the pleasure of the buyer, sometimes to make a legal record. Or, as some residents say they think, to pressure neighbors into selling their land, too.

Story Comments

Elk Point Resident wrote on Aug 10, 2007 10:13 PM:

" Joe, you're obviously in the dark. The zoning ordinance was voted down before the Hyperion announcement. The opposition in that matter contested the distance animal confinments could be located from a rural residence. Less than 10% of the county residents voted because the issue was so obscure. I'm glad to hear you at least admit your in the minority, but you overestimate the minorities ability to pursuade public officials once the details of this project are submitted for public scrutiny. Brine? Waste details? Disposal techniques? You say your in the dark on facts so you must be making up your own. Nice try at scaring everyone, but it's not very convincing. "

Joe wrote on Aug 9, 2007 4:42 PM:

" If support for the project was 5:1 the zoning change would have passed the first time. No slam dunk. Arizona may break ground on a new refinery this year on a project that started in the '80's and they do not have ground water issues. Even if a minority show the hazards to permit officials, project is off. No supporter I can find has offered up where the 10,000+ barrels (ave for ave refinery) per day of toxic waste generated go (10,000 barrels=73524.3 ft^3), other than injection wells into the ground. And Elk Point thinks it has landfill issues now. How about 5000 acres of slag heap. Notice the corp of engineers hasn't made a statement about water usage yet. I doubt they will let brine be dumped into the river. You can't tell a big enough lie long enough to cover the "we want land, give no facts, eat our crap" "

Elk Point Resident wrote on Aug 2, 2007 5:02 PM:

" We can hardly wait for Hyperion to start the project. Everywhere I go, people support the project and are anxiously looking forward to the change. The opposition does not have chance of blocking the project. Supporters of the project out number them 5 to 1. This is a slam dunk. "

Joe wrote on Jul 31, 2007 11:21 AM:

" It's obvious the majority in the area do not want this polluting eyesore. Other areas faced with one have defeated it, and this one can be to. Look at the zoning issues, 200 people at a not well advertized meeting. That is the first battleground, rezoning. Next is to vote out Hyperion's local voice Commish Karpen. Nice enough guy who's in over his head. Everyone needs to get involved if you wish to save your home. Things like the publishing of options are just tatics to try to intimidate and strongarm people not wanting to sell. STAND STRONG. Also get your friends to post comments on the stories, let Hyperion know they are not wanted. "

Sosad wrote on Jul 30, 2007 4:54 PM:

" This monster has destroyed the community already and it isn't even here yet. This is one of the saddest situations ever. This is Ag c'try not heavy industry. Jobs yes, but not this kind. The scenery is beautiful here, c'try living is wonderful, but it will be totally messed up if they get in. Lots of lies have been told. Taxes will have to go up cause you know Hyperion has only 1 thing on the agenda and that is making $$ for themselves. We are stupid farm people with no regulations and good clean air. They are taking advantage of us. Get them outta here while we still can!!! "