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Proposed Ethanol Plant to be Largest in Southeast
Monday May 1, 12:00 pm ET

JACKSON, Miss. and ST. LOUIS, May 1 /PRNewswire-FirstCall/ -- A Mississippi-based energy company and one of the nation's leading agribusiness firms are teaming up to build the largest ethanol plant in the southeastern United States.

Ergon Ethanol, Inc. and Bunge North America, Inc. announced the signing of a letter of intent to form a joint venture to build an ethanol plant with an annual capacity of at least 60 million gallons in the State of Mississippi. The state-of-the-art facility will provide a key link between Bunge's grain handling facilities in Mississippi and Louisiana, and Ergon's petroleum refining assets.

Producing this renewable, clean-burning fuel will require at least 21-million bushels of corn each year, creating new markets for regional corn growers. This facility will also generate corn-based co-products which are excellent feed ingredients for area poultry and livestock producers.

"This proposed joint venture leverages the strengths of both Ergon and Bunge," said Don Davis, executive vice president of Ergon. "With fifty years of experience in petroleum refining and marketing fuel, Ergon has the expertise to operate a highly efficient ethanol refinery as well as to market the ethanol produced by the facility. Ergon has been evaluating renewable energy sources for several years and expects that this project will benefit all of Mississippi -- its drivers and its farmers."

"Bunge is a leading grain originator in North America with a strong domestic network of elevators on the Mississippi River and its tributaries," said Tim Gallagher, senior vice president of Bunge North America. "Our relationships with farmers and our experience in grain origination and merchandising will ensure that the new venture has a ready supply of corn. Ethanol production will also bring new feed ingredient opportunities for our poultry customers."

About Ergon Ethanol

Ergon Ethanol, Inc. is a wholly owned subsidiary of Ergon, Inc with headquarters in Jackson, Mississippi. Ergon, Inc., privately held, operates under six primary business segments: Refining & Marketing, Asphalt & Emulsions, Transportation & Terminaling, Oil and Gas, Embedded Computing and Real Estate. Ergon owns and operates three petroleum refineries located in Mississippi, Arkansas and West Virginia, producing gasoline, low sulfur diesel, lubricant and process base oils, asphalts and other specialty products.

About Bunge North America

Bunge North America, the North American operating arm of Bunge Limited, is a vertically integrated food and feed ingredient company, supplying raw and processed agricultural commodities and specialized food ingredients to a wide range of customers in the livestock, poultry, food processor, foodservice and bakery industries. With headquarters in St. Louis, Missouri, Bunge North America and its subsidiaries operate grain elevators, oilseed processing plants, edible oil refineries and packaging facilities, and corn dry mills in the U.S., Canada and Mexico.

Source: Bunge North America, Inc.

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