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News Release
Release No. STELPRD4007874
ContactDane Henshall202-260-0996
Vicki Schurman402-437-5563
Printable Version  Printable Version
(JANUARY 20, 2011) AGRICULTURE SECRETARY VILSACK ANNOUNCES PRODUCER PAYMENTS TO PROMOTE BIOENERGY PRODUCTION IN RURAL AMERICA; TWO NEBRASKA COMPANIES ARE RECIPIENTS

Washington, Jan 20, 2011 -- Agriculture Secretary Tom Vilsack today announced new investments in 33 states to support the production and usage of advanced biofuels, including two Nebraska companies. Vilsack highlighted these projects as ways the Obama Administration is working to reduce the nation's dependence on foreign oil by creating alternative energy sources and promoting economic development and job creation.

"The Obama Administration is working aggressively to bring greater energy independence to all of America by promoting the production of renewable energy in rural communities," said Vilsack. "This funding will help the nation's advanced biofuel industry produce more fuel from sustainable rural resources, and in doing so create jobs, a new revenue stream for agriculture producers and stimulate rural economies across the nation."

Authorized under Section 9005 of the Farm Bill, the Bioenergy Program for Advanced Biofuels authorizes payments to eligible producers to expand production of advanced biofuels. Payments are based on the amount of advanced biofuels a recipient produces from renewable biomass, other than corn kernel starch. Eligible examples include biofuels derived from cellulose, crop residue, animal, food and yard waste material, biogas (landfill and sewage waste treatment gas), vegetable oil and animal fat. To find out more about the program click here.

In Nebraska, Chief Ethanol Fuels, Inc. in Hastings, Nebraska received $949,018 based on eligible production of advanced ethanol biofuel from grain sorghum produced in its Hastings, Nebraska facility.

Ag Processing, Inc. in Omaha, Nebraska received payment of $492,319 based on eligible production of advanced biodiesel from soybean oil produced in its Sergeant Bluffs, Iowa and St. Joseph, Missouri facilities.

The producer payments are intended to provide a financial incentive to biorefineries – a necessary step towards meeting the nation's renewable energy needs.

For further information in Nebraska, contact Deb Yocum at 402-437-5554 or debra.yocum@ne.usda.gov.

USDA, through its Rural Development mission area, administers and manages more than 40 housing, business and community infrastructure and facility programs through a national network of 6,100 employees located in the nation's capital and nearly 500 state and local offices. These programs are designed to improve the economic stability of rural communities, businesses, residents, farmers and ranchers and improve the quality of life in rural America. Rural Development has an existing portfolio of nearly $142 billion in loans and loan guarantees.

Last Modified:12/27/2011 
 
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