NEDAK ethanol sold at auction, new buyer, operator sought

By Holly Jessen | January 23, 2013

An idled ethanol plant in Nebraska has been purchased by a North Dakota-based company that intends to turn around and find a new buyer and operator for the facility, according to the plant’s president and general manager.

“It’s not necessarily good news but it’s probably as good as could be done in the environment,” Jerome Fagerland told Ethanol Producer Magazine.

NEDAK Ethanol LLC is a 44 MMgy facility located in Atkinson, Neb. It was purchased at auction for $22 million by Choice Ethanol Holdings of Fargo, N.D. The auction was held Jan. 22 at the Holt County Courthouse in O'Neill, Neb.

The plant was idled in June, which the company attributed to lower gasoline and ethanol demand as well as higher corn prices. Although there were employee layoffs, some employees are still working at the plant since it is in warm idle, Fagerland said. The intent is to get the plant restarted at some point.