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August 13, 2001
Cargill to boost ethanol production, distribution
Agribusiness giant Cargill Inc said on Friday it will increase its production of ethanol and form marketing alliances with other ethanol producers to meet expected rising demand in California and the Northeast.
Cargill, the largest privately owned U.S. corporation, now produces about 110 million gallons of ethanol a year in total at two of its corn wet-milling plants in Blair, Nebraska, and Eddyville, Iowa.
Cargill said in a statement it would raise that capacity by another 8 million gallons at Blair, which will then produce 83 million gallons annually.
Cargill also manages a fleet of 300 ethanol railcars, which it plans to use in alliances with smaller producers in order to meet emerging demand.
"Combining the collective capacity of several ethanol producers with Cargill's marketing, risk-management and transportation expertise will make for a strong partnership," Terry Jaffoni, vice president of Cargill North America Sweeteners and product line manager for ethanol, said in the statement.
California sues EPA over ethanol use
The state of California has asked a federal court to overturn a U.S. Environmental Protection Agency order requiring it to use ethanol in its gasoline, a move state officials on Sunday said was motivated more by politics than a desire to enforce clean-air standards.
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