Wednesday, January 28, 2009

ETHANOL PLANT REOPENS BUT 95% OF FARMERS AGREE TO PRICE CONCESSIONS

(Lincoln Journal Star) — A northeast Nebraska ethanol plant has resumed production after closing down because of financial problems. The board chairman of Husker Ag in Plainview, Neb. says more than 95% of the farmers who deliver corn to the plant agreed to ease the terms of their contracts. Chairman Mike Kinney says the farmers agreed to let Husker Ag pay them a portion of their contacted price over several years instead of immediately. The plant near Plainview, which is about 30 miles northwest of Norfolk, closed earlier this month, citing volatility in the corn, oil and ethanol markets.