Hastings, Lexington Facilities Receive Federal Funds for Advanced Biofuel Production


Three Nebraska companies, including one located in Hastings and another in Lexington, have received federal funds to support production of advanced biofuels.

Chief Ethanol Fuel, Inc received total payments of more than $4,000. The company operates an ethanol processing facility in Hastings, which has expanded the feedstock used in the production of ethanol with the addition of sorghum.

Cornhusker Energy Lexington, LLC, which operates an ethanol processing facility in Lexington, has received $957 from the USDA. The facility also produces ethanol from sorghum feedstock, qualifying the plant to receive payments under the Advanced Biofuel program.

Agriculture Under Secretary Doug O'Brien says these payments are meant to support an "all-of-the-above" energy strategy that also helps create jobs.

"Producing advanced biofuels is amajor component of the effort to take control of America's energy future bydeveloping domestic, renewable energy sources," O'Brien added.

Under theprogram, payments are made to eligible producers based on the amount ofadvanced biofuels produced from renewable biomass other than corn kernelstarch. Examples of eligible feedstocks include:crop residue; animal, food and yard waste; vegetable oil; and animal fat.

The third Nebraska company receiving payment through the program is Ag Processing, Inc, which is headquartered in Omaha and produces biodiesel from soybean and other oils at facilities in Iowa and Missouri. They received more than $3.8 million.