Firm holds out hope for reopening of ethanol plant - 13 WTHR Indianapolis

Firm holds out hope for reopening of ethanol plant

Posted: Updated:
SOUTH BEND -

 

The president of a company that ran Indiana's oldest ethanol plant until its bankruptcy hopes the liquidators who purchased the facility might reopen it.

The plant sold for $2.5 million. New Energy Corp. President Russ Abarr had hoped the auction price would cover the company's $54 million in debt.

Abarr tells the South Bend Tribune that the two liquidators who purchased the plant are talking with operators who could reopen it.

Purdue University professor Wallace Tyner a reopening is unlikely given the sales price. He says the $2.5 million figure signals the facility is likely to be scrapped.

The plant opened in 1984 and cost more than $180 million to build. It shut down in November after its owners filed for Chapter 11 bankruptcy protection.

Information from: South Bend Tribune

Copyright © 2013 The Associated Press. All rights reserved. This story may not be published, broadcast, rewritten or redistributed without the prior written authority of The Associated Press.

 

Powered by WorldNow