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USDA awards $25 million

for Iowa biodiesel plant

Feb. 2, 2012 | 0 comments

The U.S. Department of Agriculture has awarded $25 million to an eastern Iowa plant that will turn garbage into fuel.

The plant is being built by Maryland-based Fiberight LLC, which will work with a local landfill to obtain municipal trash that will be turned into cellulosic ethanol.

The 55,000-square foot plant near Blairsburg is expected to produce six million gallons of ethanol when it becomes operational in 2013.

The plant is expected to employ 55 people.

Fiberight is investing $20 million in the plant. The company also received $2.5 million from the state.

Officials with the Renewable Fuels Association says the plant will be among the first in the nation to produce cellulosic ethanol, which is made from biomass such as garbage, corn stalks or switchgrass, on a commercial scale.

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