Vera Sun Ethanol Expands Capacity

Energy Producer VeraSun is expanding their capacity:

VeraSun Energy to Acquire 330 Million Gallons of Ethanol Production Capacity
Acquisition to Boost Company's Production Capacity to One Billion Gallons by End of Next Year
BROOKINGS, S.D., July 23 /PRNewswire-FirstCall/ -- VeraSun Energy Corporation (NYSE: VSE), one of the nation's largest ethanol producers, today announced plans to acquire three ethanol plants with a combined annual production capacity of 330 million gallons per year (MMGY) from ASAlliances Biofuels, LLC for $725 million.
The three facilities are each expected to operate at 110MMGY and are located in Albion, Nebraska, Bloomingburg, Ohio, and Linden, Indiana. The acquisition should become final in 30 to 45 days and is subject to customary closing conditions.
The facilities will provide VeraSun with immediate production capacity and revenue. The Linden facility will begin startup operations this month, followed by Albion in the fourth quarter and Bloomingburg by the end of first quarter 2008. The acquisition will increase VeraSun's production capacity to approximately one billion gallons by the end of 2008.
"This is a unique opportunity to acquire immediate production and revenue at a cost similar to that of building new facilities," said Don Endres, VeraSun Chairman and CEO. "The capacity gained through this acquisition underscores a commitment to our long-term growth strategy while maintaining our focus on being an efficient, low-cost ethanol producer."