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May 22, 2008 | Jim Lane | Comments 0

Vision Fuels has June 1 deadline to prove financing for 110 Mgy corn ethanol plant in Iowa

In Iowa, Vision Fuels now has a final deadline of June 1 to provide proof of financing for a proposed $210 million, 110 Mgy corn ethanol plant south of Des Moines. Management said they are confident they will be able to meet the deadline, which has been extended twice owing to tough financing conditions.

In January, the city of Des Moines gave Vision Fuels an extension until June 1st to provide a financing commitment for their proposed $210 million corn ethanol plant, situated on 164 acres of city-owned land. The company has provided nearly $1 million in non-refundable deposits for the natural gas-powered plant that was first proposed in 2006.

Vision Fuels Des Moines originally asked for an extension to complete $210 million in project financing for their 100 Mgy facility last September. The owners cited difficult financing conditions which have led projects such as Akron Riverview Corn Processors to suspend their financing efforts for the 100 Mgy Akron, IA project.

Capital sources for ethanol projects have been increasingly difficult to find over the past 12 months, with many projects in the US on hold.

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