Omaha-based Green Plains has agreed to sell three of its ethanol plants to Valero Renewable Fuels for 300 million dollars.
The plants, located in Lakota, Iowa, Bluffton, Indiana and Riga, Michigan, have a total production capacity of 280 million gallons. That’s approximately 20 percent of Green Plains ethanol production capacity.
Green Plains says the sale is part of its “strategic objectives”. It says proceeds from the plant sales will be used to pay down term debt and it anticipates announcing additional transactions “in the near future”.