Advanced BioEnergy adding grain receiving, corn storage in Aberdeen
Advanced BioEnergy is adding year-round corn storage and grain-receiving capabilities, according to a news release.
Initial plans include storage capable of holding 800,000 bushels of corn, with room to expand that by an addition 1 million bushels, if needed.
The plant is at 38469 133rd St. on the western edge of town. That is also County Road 12W.
The grain receiving facility will include a 20,000-bushel-per-hour corn receiving pit. It will use radio frequency identification card recognition technology, which will help speed up dumping times, according to the release.
The construction will allow Advanced BioEnergy to offer another direct selling option to local farmers, CEO Rich Peterson said in the release.
In the past, the plant has sourced all of its corn needs from a commercial partner under a third-party supply agreement. That agreement expires in November 2019.
Now, the company has decided to by directly from farmers.
Advanced BioEnergy plans to begin construction in June and complete the upgrade by July 2019. Three more workers will be added to Advanced BioEnergy’s 54 South Dakota employees, according to the release. It also has an ethanol plant in Huron.
A cost was not disclosed in the release, but the company is financing the project with existing cash resources and debt financing, according to the release.
Advanced BioEnergy’s Aberdeen and Huron plants jointly grind approximately 28 million bushels of corn per year, have a combined production capacity of approximately 85 million gallons of ethanol per year, produce more than 220,000 tons per year of distillers grains, and produce more than 19 million pounds of corn oil per year, according to the release.
— Staff reports