Supply Agreement Reached between The Andersons Marathon Ethanol and Continental Carbonic Products, Inc.
The Andersons Marathon Ethanol LLC (TAME), a partnership between The Andersons, Inc. (NASDAQ: ANDE) and Marathon Petroleum Company LP, a wholly owned subsidiary of Marathon Oil Corporation (NYSE: MRO), announced today that it has entered into an agreement with Continental Carbonic Products, Inc. for the supply of carbon dioxide (CO2) from the TAME plant in Greenville, Ohio. The agreement provides Continental Carbonic a critical input to build a new 50,000-square-foot dry ice manufacturing facility.
CO2 is a co-product of the ethanol production process which can then be converted to liquefied CO2. Liquefied carbon dioxide (LCO2) is the feed-stock for manufacturing dry ice and is used for a wide variety of other applications. Continental Carbonic has enjoyed significant growth in its core business; producing and delivering high quality dry ice to its customers. The Greenville Dry Ice Plant will facilitate continued growth of the business and employ more than 70 full-time workers when running at full production.
"Continental Carbonic Products is a significant force in the U.S. dry ice market," said Neill McKinstray, Vice President and General Manager of Ethanol for The Andersons, Inc. "We are pleased to have them join us at our Greenville ethanol plant, and look forward to advancing our common business interests, as well as contributing to the growth and prosperity of the Greenville area."
The Andersons, Inc., which serves as operator and manager of the ethanol plant in Greenville, has a similar agreement with Continental Carbonic at The Andersons Albion Ethanol plant in Albion, Michigan.
"The Andersons Marathon Ethanol are exactly the type of high quality, high integrity strategic partner we look for when we expand our business," said Robert Wiesemann II, CEO and Vice-Chairman of Continental Carbonic. "We have partnered with The Andersons for over four years in Albion, Michigan and our relationship has proven to be very beneficial to both parties. We also want to thank the Greenville community and State of Ohio Department of Development who have worked very hard to provide the economic framework to make this project successful and have welcomed us so warmly."
Local officials stated that the city and county are equally enthusiastic about the project.
"City officials have always touted the benefits of having TAME as a corporate citizen in the Greenville community," explained Greenville Mayor Mike Bowers. "While working on this project, we have found that officials with Continental Carbonic have demonstrated the same levels of professionalism and integrity that has made the ethanol plant a valued part of the community."
"We definitely thank TAME for bringing this opportunity to us," stated Darke County Economic Development Director Marc Saluk. "We'll continue to work diligently and do what we can to help ensure this opportunity becomes a reality."
Congrats to Saluk & the Mayor. I hope the progress continues.
ReplyDeleteTHANK YOU for all who helped make this possible, more green for the pocket and the green earth!
ReplyDeleteWe owe the thanks to the committee and politicians that got Anderson's to not put the CO2 into the ground. This really makes a lot more sense. There are other uses for CO2 besides this, they just need to go after it and market it.
ReplyDeleteThis is an example of the kind of people that management is supposed to be in my book. Finding resourses for your waste, cut costs by bringing in more work.
There are too many members of industry management that don't think any farther ahead than just cutting cost by farming out labor to foriegn countries. They couldn't very easily move the operation to India or bring in illegal laborers so they had to think of a way to make it work. BRAVO!!!
Kudos. A much better alternative to injection through the aquifer!
ReplyDeleteAgreed. This makes the sequestration victory even sweeter.
ReplyDeleteAnother inconvenient point ... a lot of people have been down on the ethanol plant in that it hasn't spawned the satellite businesses that were initially expected. Well, here's the first.
This beats the heck out of pumping it into the ground, but i wonder will it still smell like stale beer for miles downwind of the plant??
ReplyDeleteGreat job Marc and Mike! It's good for our community and environment - I hope it's the first of many good things for Darke County!
ReplyDeleteWay to go Mayor Bowers and Mark Saluk! Now the only problem will be finding 70 unemployed Darke Countians who can pass a drug screen and will show up every day to work. That may present a problem.
ReplyDelete1) I was very disappointed to see that the Advocate had this story "buried" under another John Graham story. This should have been the headline yesterday. There are good things going on in Greenville. You'd think that the only thing that ever happened around here relates to failed school levies and sex offenders.
ReplyDelete2) There will be more details about this project and the positive things it represents for our community. DJ, please continue to cover it.
3) Seemingly, the only thing people think of when someone mentions the ethanol plant is CO2 sequestration. However, aside from the jobs which came with the ethanol plant, it has also raised the value of farm ground by 50% and contributed to the price of a bushel of corn going to $4.20. The agriculture and trucking industries in this County have benefited greatly from the ethanol plant.
This dry ice company is just the latest good news coming from the industrial park. If people spent 1/4 of the time focusing on the positives that they do obsessing over the negatives in our community, we might start to move things forward.
Finally a voice of reason...
ReplyDeleteThanks for the supprisingly rare appearance of positive attitude from Darke County. Appreciation for what we have rather than to criticize "potential" concerns...