ST. PAUL, Minn. - US BioEnergy Corp. LLC announced Friday that it will acquire Millennium Ethanol.
With this acquisition, US BioEnergy will have eight plants in six states with expected total production of 700 million gallons of ethanol per year (mgy) by the end of 2008.
The aggregate consideration payable to Millennium’s members in the transaction is approximately $135 million.
Millennium is currently constructing a plant near Marion, S.D. and is expected to begin production in the first quarter of 2008. The plant is expected to produce approximately 100 mgy and 320,000 tons of dried distillers grains annually. Upon completion of the plant, US BioEnergy is expected to procure its entire corn supply for the Marion plant from FREMAR, LLC.
The transaction is expected to close in the third quarter of this year.