Flint Hills Resources Acquires Two Iowa Fuel Ethanol Plants

---

Researched by Industrial Info Resources (Sugar Land, Texas)--Flint Hills Resources LP (Wichita, Kansas), a subsidiary of privately held Koch Industries Incorporated (Wichita), has acquired two fuel ethanol plants in Iowa Falls and Fairbank, Iowa. The plants were formally owned by Hawkeye Renewables.

The purchase price was not disclosed, but each plant cost more than $200 million to construct. Both plants were built by the team of ICM Incorporated (Colwich, Kansas) and Fagen Incorporated (Granite Falls, Minnesota).

The Fairbank plant went into operation in May 2006 and has a production capacity of 115 million gallons per year of ethanol. The Iowa Falls plant went into operation in November of 2004 and produces 100 million gallons per year of ethanol. Both plants are corn-based and consume more than 80 million bushels of corn per year.

The acquisition brings Flint Hills' portfolio up to four ethanol plants. In September 2010, the company purchased two other Hawkeye plants in Menlo and Shell Rock, Iowa. Both plants produce 110 million gallons per year of fuel ethanol and distillers dried grains. With the two additional plants, Flint Hills now has the capacity of producing more than 430 million gallons per year of ethanol, representing roughly 3% of U.S. production.

Flint Hills operates four petroleum refineries, five chemical plants and 17 product distribution terminals. Koch formed the subsidiary specifically to operate these plants .

Industrial Info's Databases provide a comprehensive outline of all current development activities in the emerging alternative fuels market. Industrial Info's North American Ethanol Database covers 203 plants in operation and 358 plants under various development phases. Industrial Info's North American Biodiesel Database covers 153 operational plants and 72 plants under development. Industrial Info's North American Wood Fuel Pellet Database includes 59 operational plants producing greater than 25,000 tons annually, and 37 projects under way.

View Plant Profile - 1064971 1064950 1073842 1073504

Industrial Info Resources (IIR) is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. IIR's quality-assurance philosophy, the Living Forward Reporting Principle™, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities.