Corn ethanol producer Cilion (earlier post), has closed on a $105-million debt package for the construction of two ethanol plants in California. Cilion, founded in 2006, has previously raised more than $200 million.
Farm Credit Services of America, MetLife and CoBank were co-lead lenders in the transaction.
Cilion plans to operate modular, standardized 55 million gallons per year ethanol plants that intend to be cheaper and greener than standard corn-to-ethanol plants, substantially reducing the need for fossil fuels in ethanol production.
In addition to the closure of debt financing, Cilion announced that its first facility in Keyes, California, is 50% complete. The Keyes plant will produce 55 million gallons of ethanol annually, making Cilion the largest producer in the California market when completed. Commissioning of the facility is expected in early 2008.