Ethanol Blog

Former Minnesota Ethanol Plant to Close its Doors

Todd Neeley
By  Todd Neeley , DTN Staff Reporter
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A Little Falls, Minnesota, ethanol plant that was bought and converted into a chemical-production facility is closing its doors.

Central Minnesota Renewables LLC, which previously operated as a 21-million-gallon ethanol plant owned by Central MN Ethanol Co-op, has faced difficulty in securing the necessary financing to continue producing lighter fluid and a bio-based acetone nail polish remover.

CMR's parent company Green Biologics Limited, based in the United Kingdom, made the announcement on the company's website,

"After a detailed review, the board of Green Biologics Limited (GBL) has concluded that it is not possible to secure funding to enable it to continue with its plan to build up sales and production levels of renewable butanol and acetone at the group's Little Falls, Minnesota, plant to the point of cash break-even," the company said.

"Accordingly, given this withdrawal of financial support, the board and managements of its subsidiary companies, Green Biologics, Inc., and Central Minnesota Renewables LLC have commenced an orderly closure of operations and wind-down of those corporations for and subject to any actions by their creditors. In the short-term the board of GBL will be considering strategic options for the future of GBL."

Green Biologics bought the corn-ethanol plant in December 2014. The company launched a $60 million to $70 million retrofit of the plant in late 2015, which has about 50 employees. The retrofitted plant began production in 2016.

In 2014, Green Biologics received a $500,000 grant from the Minnesota Department of Agriculture for continued work on developing new uses for corn.

The plant has been producing butanol and acetone, which are ingredients in paints, cosmetics, adhesives and other products.

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