Second ethanol plant in Kosciusko County under consideration

Truth Staff

MILFORD, Ind. -- Local officials have talked with representatives of a company considering a site for what would be the second biofuels plant in northern Indiana's Kosciusko County.

American Milling Co. of Cahokia, Ill., is interested in a site near the town of Milford, including more than 200 acres owned by Harlan Beer, who said his property was under consideration.

The company is studying the site about 30 miles southeast of South Bend for an ethanol plant because it has access to railroad lines running both north-south and east-west, county Commissioner Bradford Jackson said.

American Milling has not made any announcement of an ethanol plant project for the area.

County planning Director Dan Richard said officials from American Milling visited the county planning office recently and asked about zoning requirements.

The staff provided them with copies of zoning regulations and information on the rezoning that was approved for a Louis Dreyfus Agriculture Industries biodiesel fuels plant in Claypool.

If the Milford plant is built, Bill Bradley, executive director of the Economic Development Corp. of Elkhart County, said local farmers would probably benefit since the facility would create another market for the farmers' crops. However, he does not foresee a great impact to the Elkhart County's economy since such facilities are typically employ less than 50 workers.

He called the prospect of another enthanol plant "pretty speculative." While noting he is not familiar with American Milling Co., Bradley said some proposed biofuel plants struggle to raise the initial investment of $20 million to $50 million.

Louis Dreyfus is building a nearly $100 million plant near the town of Claypool in southern Kosciusko County. Indiana now has two biofuels plants in operation and state officials say at least 14 others are either under construction or have been announced.

The Associated Press contributed to this report