Clovis Biodiesel halts construction in New Mexico as financing dries up

February 8, 2008

In New Mexico, construction has halted on the 15 Mgy Clovis Biodiesel project due to financing issues. The $18 million plant was 80 percent complete and scheduled to be finished this month, but management now says that completion is six to eight months away. Project owners Ares Blue Sun blamed the run-up on soy prices and Blue Sun’s inability to close a public offering for the delay.

Last week, ConAgra announced that it was canceling its proposed 100 Mgy corn ethanol project in Clovis due to depressed economic conditions and rising building costs. The $200 million project also ran into resident opposition because the plant site bordered the town.

The ConAgra plant had been scheduled for an additional hearing by the state Environmental Improvement Board. The Environment Department previously approved the plant, but local residents objected to the location of the plant on the edge of town. The EIB ordered the hearing after it was disclosed that notices to residents did not properly disclose the distance from the plant to the town limits. The additional hearing will be held before February.

American Renewable Fuels plans to construct a 75 Mgy biodiesel facility in Clovis Industrial Park, which would commence operation in September 2009. Abengoa operates a 27 Mgy corn ethanol facility in the area which last year it put up for sale, saying it wanted to concentrate on its larger facilities and cellulosic ethanol developments.

New Mexico utility seeks biofuels as part of renewables portfolio expansion

In New Mexico, the Public Service Company of New Mexico (PNM) has issued an RFP to expand the use of renewable energy in its portfolio of energy sources, including biofuels. PNM is required under stat...

New Mexico Center of Excellence receives $1.1 million to advance to pond stage in algae biodiesel research

In New Mexico, the Center of Excellence, based in Carlsbad, has received about $1.1 million of $3.5 million in total disbursements from the New Mexico Energy and Innovation Fund, to fund its researc...

First commercial biodiesel plant in New Mexico on track to open in January 2008

The first commercial-scale biodiesel plant in New Mexico is schedule to open in January 2008. The Clovis Biodiesel facility will produce 15 million gallons per year of biodiesel from canola and soybea...

New Mexico city commission to vote on land grant, $75 million bond to support 75 Mgy biodiesel plant

In New Mexico, the Clovis City Commission will vote this week on an agreement to provide 25 acres of city land and a $75 million Industrial Development Bond to assist American Renewable Fuels. The ...

New Mexico corn ethanol plant scheduled for hearings over improper disclosures

In New Mexico, a new ethanol plant planned for Clovis by ConAgra has been scheduled for an additional hearing by the state Environmental Improvement Board. The Environment Department previously appro...

ConAgra scuttles 100 Mgy corn ethanol project in Clovis, New Mexico; cites building costs, ethanol margins

In New Mexico, ConAgra announced that it was canceling its proposed 100 Mgy corn ethanol project in Clovis due to depressed economic conditions and rising building costs. The $200 million project also...

Written by Jim Lane · Filed Under Producer News