Poet cancels plans for Minnesota plant

By Kris Bevill | April 08, 2008
Web exclusive posted May 5, 2008 at 10:20 a.m. CST

Sioux Falls, S.D.-based ethanol giant Poet LLC announced May 2 it has canceled plans for a proposed 65 MMgy ethanol production facility near Glenville, Minn.

Larry Ward, vice president of project development at Poet, said the company had hoped to be holding the plant's grand opening at this time, but continual permitting delays made the project less attractive, resulting in the decision to abandon the project. "Early discussions with the appropriate authorities indicated there wouldn't be any unusual permitting concerns due to the plant's close proximity to another Poet plant," Ward said. "However, permitting has delayed the project by more than a year and has caused a significant amount of additional costs making it less attractive than other potential projects in the eastern Corn Belt."

Poet currently operates a separate 45 MMgy plant in Glenville, Minn., that Ward said is performing very well. He said the possibility still exists for Poet to construct a second ethanol facility in Glenville, Minn., but that it won't be likely for several years.

Most of Poet's recent work has been concentrated in the eastern Corn Belt states. In the past year, the company has opened three new ethanol facilities in Indiana and Ohio and has plans to open three more in those states by the end of the year. "We also have four additional sites in the eastern Corn Belt that are in some stages of due diligence," Ward said. "We continue to be excited about the possibilities for increased production in those areas."