Riverland Biofuels' Illinois Ethanol Plant now Running at Half Capacity

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Researched by Industrial Info Resources (Sugar Land, Texas)--The fuel ethanol plant in Canton, Illinois, run by New CIE Energy Opco LLC (Canton) under the name Riverland Biofuels LLC, is currently running at half capacity. The company is testing equipment and is turning production off and on to ensure that all systems are functioning properly and that the plant is ready to produce at full capacity by the end of the year. At full capacity, the plant will be able to produce 37 million gallons of the renewable fuel annually.

The plant has had rocky start getting to this point, as the original investment group, Central Illinois Energy, had to file for bankruptcy protection as the project ran $36 million over budget and the plant developers could no longer afford to pay contractors to finish construction of the plant. After a year in bankruptcy and a failed asset sale, Swiss investment banker Credit Suisse Group (NYSE:CS) (Zurich, Switzerland), one of the original investors in the venture, stepped in and bought the plant, changing the name to Riverland Biofuels LLC.

Once fully operational, the plant will have an energy advantage over other ethanol plants operating in the state. There is a steam generation unit on-site that will be able to supply two-thirds of the plant's energy needs. The unit is powered by coal slurry that was left behind when coal was washed at a nearby strip mining operation at the Buckheart Mine, which closed in the1970s. Plant officials expect that there is enough coal slurry to operate the steam unit for 10 to 15 years.

The corn-based-feedstock plant originally started construction in October 2006. Cost estimates to build the plant are in the $130 million range.

Industrial Info's Ethanol Database provides a comprehensive outline of all current development activities in the emerging alternative fuels market. This database covers 177 ethanol plants in operation and 530 plants under development. It also covers 145 operational biodiesel plants and 245 biodiesel plants under development.

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