Another ethanol plant is planned for central Iowa — this one in Tama. Officials say the plant will produce 50-million gallons of the corn-based fuel a year.
Frank Baumgardt, project manager with BBI International, says the only remaining hurdle to cross is for the land where the plant will be built. Baumgardt says they’re working to reach an agreement with the Iowa Beef Cooperative and then plans will move forward.
The plant will require some 18-million bushels of corn a year to produce its goal in ethanol. Christopher Miller is CEO of Alpha Holdings, based in Reno, Nevada, which is helping finance the project. Miller says Alpha Holdings will have an “equity position” in the plant after putting “a lot of money” into the project. He says it will take up to $90 million to get the facility running. They’re looking for investors to put in $3 million in seed capital, $32 million in equity capital and $50 million from bankers.
Tama Mayor Chris Bearden says the ethanol plant promises an economic boost for the community. Bearden says the tax money generated by the plant will help everyone in the community and will allow the city to do many more things without burdening the taxpayers. The plant’s expected to employ 35 to 40 people and could double that number if the production is ramped up to 100-million gallons of ethanol per year.