POET to Power Ethanol Plant Expansion with Alternative Energy Source

Sioux Falls, SD (Vocus) November 15, 2007

poet_8An expansion of a POET ethanol plant includes a technology that will allow ethanol production to double without increasing fossil fuel usage. POET Biorefining – Chancellor, an ethanol production facility near Chancellor, S.D., is undergoing an expansion that will increase production capacity from 50 to 100 million gallons per year. The expansion includes construction of a solid waste fuel boiler, an alternative energy source that will generate enough steam to produce more than half of the expanded plant’s power needs. Mueller Pallets of Sioux Falls, S.D. will supply woodchip fuel for the boiler.

“The solid waste fuel boiler will allow us to double our production capacity without increasing our natural gas usage,” said Rick Serie, General Manager of POET Biorefining – Chancellor. “We’ll be reducing our operating costs by using a green fuel source to produce a domestic, green transportation fuel for America.”

Waste wood from pallets, construction sites and area landfills will be the primary fuel source for the solid waste fuel boiler. POET Biorefining – Chancellor has contracted with Mueller Pallets of Sioux Falls to provide 150-350 tons of wood per day. The company, long a recycler of used transport pallets, has increased operations to accommodate POET’s woodchip needs. Not only has Mueller begun acquiring and grinding waste wood from area landfills, but the company is also reaching out to tree services companies, contractors and other private sources to acquire and re-cycle waste wood at no charge to the providers.

“It’s a win-win situation. By recycling instead of disposing of waste wood, companies, cities and towns in the region will together save hundreds of thousands of dollars in landfill costs yearly,” said Margie Mueller, president of Mueller Pallets. “And while saving raw materials from disposal, the fuel product we process will help reduce the need for natural gas.”

POET Alternative Energy Engineer Jim Geraets said the solid waste fuel boiler will be outfitted with state-of-the-art pollution control equipment that exceeds state and federal standards and continuously monitored. “Ethanol is one of the best tools we have to fight pollution from vehicles,” said Geraets, “and at POET we’re always looking for ways that we can make the ethanol production process even more environmentally-friendly.”

POET Biorefining – Chancellor started operations in March, 2003. Last year, the facility produced 51 million gallons of ethanol and 160,000 tons of Dakota Gold Enhanced Distillers Nutrition products. The facility is in the midst of an expansion that will increase the production capacity to 100 mgpy. Construction on the expansion is expected to be completed in Q1 2008 and the solid waste fuel boiler is expected to be complete in Q3 2008. The construction will necessitate the hiring of approximately 20 additional employees for the facility, which is already the largest employer in the town.

About POET:

POET, the largest ethanol producer in the world, is an established leader in the biorefining industry through project development, design and construction, research and development, plant management, and marketing. Formerly known as Broin, the 20-year old company currently operates 21 production facilities in the United States with six more in construction or under development. The company produces and markets more than 1.1 billion gallons of ethanol annually. For more information, go to http://www.poetenergy.com.

Contact Poet:

Nathan Schock

Director of Public Relations

Phone: (605) 965-6428


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