VeraSun begins work on biorefinery

BROOKINGS, S.D., Dec. 20 (UPI) -- Ethanol major VeraSun Energy Corp. has started on its new biorefinery in South Dakota with production of the alternative fuel expected late next year.

VeraSun is one of the nation's largest ethanol producers, and its Brookings ethanol biorefinery will extract corn oil from distillers grains. The capacity is expected to be about 120 million gallons per year.

Production is expected to begin in late 2008, and the process is expected to yield 7 million to 8 million gallons of corn oil annually from 390,000 tons of distillers grains.

"The production of two biofuels from one kernel of corn makes economic and environmental sense," said Pete Atkins, VeraSun vice president, corporate development. "This is a great example of the innovation that will continue to develop as the industry matures. We are pleased to contribute to the commercialization of this technology."

Following installation at the South Dakota plant, VeraSun said it will implement the technology at its Fort Dodge and Charles City, Iowa, biorefineries by the end of 2009.

"Installing this new process at our production facilities is expected to generate increased revenues and improved production economics," said Atkins. "We believe that this type of technology fits well with our model of being a large-scale, low-cost producer of renewable fuels."