Economically, Technically Advanced

MEP is in the Process of development and construction of a 100 mgy Ethanol plant to be Located East of O'Neill Nebraska at a cost of $160 Million. Dedicated to development of renewable energy fuel, MEPI will produce 100 million gallons of ethanol a year in the most cost-efficient, safe and environmentally friendly manner that today’s technology has available, in order to successively compete in an industry currently comprised of many small ethanol producers.

By constructing a state of the art, economically and technically advanced plant MEPI will be able to compete with the most successful producers in the market.
Cogen Process Diagram

Why coal? The use of coal to supply power to the facility, a new trend in the ethanol industry, is expected to reduce Ethanol production energy costs by up to 60 percent.

Coal-Fired Ethanol Production: Our Advantage

Unlike ethanol plants powered by natural gas, the Midwest Ethanol Producers, Inc. plant will derive its thermal energy from inexpensive and abundant coal.

Coal-fired ethanol plants offer a number of distinct and important advantages for the investor:

Plant management can lock in coal contracts to help control and significantly lower energy costs. Natural gas prices fluctuate daily and have been near record highs in 2004.
The investment in coal to obtain one million BTU's is about one-third of the cost of one million BTU's produced from natural gas.
At current costs, the use of coal rather than natural gas will result in $5 million in savings annually. This savings goes straight to the bottom line, accelerating the return on investment.
Coal-fired plants are equipped with modern technology to control emissions. They must comply with the same environmental standards as natural gas-powered plants and must meet the same strict permitting standards.
By using coal, we are taking an energy source that is not used for transportation fuel purposes (coal) and transforming it into a clean-burning transportation fuel that helps America increase its fuel supply, lower its dependence on imported oil, and improve its air quality.

The use of coal as a primary energy source was influenced by the continued volatility and escalation in the cost of natural gas (the primary energy source used in all other plants).

Coal can be contracted at current prices (estimated to be $1.75 per million BTU’s) for 7 to 10 years. Conversely, the average price of natural gas on the NYMEX for Jan. 1, 2006 – March 2010 is about $7.25 per million BTU’s and the price can fluctuate daily.