Engineering News

Front Range Energy and Pacific Ethanol Announce
Completion 40MM Gallon ethanol Production Facility in Colorado

Tuesday June 13, 9:14 am ET

WINDSOR, Colo., June 13 /PRNewswire-FirstCall/ -- Front Range Energy, LLC and Pacific Ethanol, Inc. today announced the completion of Front Range Energy's ethanol plant in Windsor, CO. The ICM-designed facility has a nameplate capacity of 40 million gallons per year of fuel ethanol. The plant produced its first ethanol on June 9, 2006 and expects to ship its first loads of ethanol and wet distillers grains ("WDG") later this week.

Pacific Ethanol, in addition to marketing all of the fuel ethanol and WDG output of the Windsor plant, has a contract to procure corn, manage plant operations and market products for Front Range Energy. Pacific Ethanol will market all the ethanol through its Kinergy Marketing, LLC subsidiary and will market all the WDG through its Pacific Ag Products, LLC subsidiary.

Front Range Energy's majority owner, Dan Sanders, observed, "We selected Pacific Ethanol to manage our plant and market our products due to their expertise in destination ethanol plants throughout the Western United States. We believe that Pacific Ethanol will add significant value to our company through their management and marketing skills."

Neil Koehler, President and CEO of Pacific Ethanol stated, "Our strategic relationship with Front Range Energy allows Pacific Ethanol to leverage its marketing and management capabilities. We are able to expand and build upon our business in our core market, while adding value to Front Range at the same time."

About Pacific Ethanol, Inc.

Pacific Ethanol has two ethanol plants currently under construction, one in Madera County, CA and one in Boardman, OR and recently completed equity funding of $138 million to provide the Company with sufficient cash to both accelerate its stated goal of completing five ethanol production facilities totaling 220 million gallons per year by the end of 2008 and its plans to complete additional ethanol production facilities, increasing total nameplate capacity to 420 million gallons per year by the end of 2010. Additionally, a portion of the net proceeds will be earmarked for strategic investments in corn and cellulose process technologies.

About Front Range Energy

Front Range Energy owns a 40 million gallon ethanol plant in Windsor CO. The majority owner is Dan Sanders. The plant was designed by ICM, a leading technology company.

Source: Pacific Ethanol, Inc.

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