Minnesota's RPMG announces two new producer commitments

By | September 01, 2002
WINTHROP, Minn. - Renewable Products Marketing Group (RPMG) recently announced that it has received commitments to market the fuel ethanol from two additional ethanol plants.

Effective this fall, RPMG will begin marketing the ethanol produced at Central Minnesota Ethanol (CMEC). CMEC started up its 20 mmgy dry-mill facility in Little Falls, Minn., in March of 1999.

"CMEC looks forward to working with the other facilities in RPMG and is very excited about the future of the ethanol industry." said Kerry Nixon, CMEC general manager.

RPMG has also signed a marketing agreement with the Kearney Area Ag Producers Alliance (KAAPA). The KAAPA group will begin construction of a 40 mmgy dry mill facility east of Axtell, Neb. this fall. The KAAPA facility is scheduled to startup in early 2004.
"KAAPA is excited to be marketing its ethanol through this farmer-owned marketing group" said Paul Kenney, president of KAAPA Ethanol, LLC.

RPMG applies cooperative principles to the marketing of fuel ethanol and it is the only such association that is wholly owned and managed by its member plants. The five founding member plants of RPMG are Al-Corn Clean Fuels of Claremont, Minn.; Chippewa Valley Ethanol Company of Benson, Minn.; Corn Plus of Winnebago, Minn.; Diversified Energy Company of Morris, Minn. and Heartland Corn Products in Winthrop, Minn.

"RPMG was formed in recognition of the unique needs of smaller, independent ethanol producers. The addition of CMEC and KAAPA plants to our marketing group will enhance our overall ability to bring value to our members" sad Ben Brown, RMPG chairman.

Formed in 1999 with an initial volume of 55 million gallons, RPMG has grown to a 2002 volume of over 160 million gallons. With the addition of CMEC and KAAPA along with expansion gallons from the original five members, RPMG projects a marketing volume of about 250 million gallons of fuel ethanol per year by 2004.