SunOpta BioProcess and Central Minnesota Ethanol to joint venture on 10 Mgy cellulosic ethanol plant

In Minnesota, SunOpta BioProcess agreed with Central Minnesota Ethanol Co-op in Little Falls, to cooperate on studies for a 10 Mgy cellulosic ethanol plant. SunOpta said the joint venture will construct its plant next to the co-op’s existing 21.5 Mgy facility. The plant will use wood chips as feedstock, and will be expanded ultimately to 50 Mgy in capacity.

The Minnesota Prairie Line recently applied for permits to improve ethanol rail infrastructure to carry the proposed increases in state production. Current rail infrastructure used to move ethanol to national markets can move ethanol at a maximum speed of 7 miles per hour and ethanol trains are restricted to 30 cars, which requires that they be sent to a staging point near Minneapolis to be joined with 82 other cars in a 112 car train that heads for California and other markets. The restrictions were put in place after a rail snapped last December. The line has applied for $50 million for improvements.

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