Pacific Ethanol resumes production in Burley

IBR Staff//January 7, 2010//

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Pacific Ethanol, Inc. on Jan. 6 said it resumed production at its Magic Valley facility in Burley, Idaho. The plant is designed to produce 60 million gallons of ethanol per year.

The Sacramento-based company suspended production in Burley in February 2009 due to extended unfavorable market conditions, officials said. In May, the company’s subsidiaries – which own its four ethanol production facilities, including the Magic Valley plant – filed voluntary Chapter 11 reorganizational bankruptcy petitions in the District of Delaware in an effort to restructure their indebtedness. In December 2009, the company obtained necessary court and lender approvals to resume operations at the Magic Valley facility.

Pacific Ethanol said the facility has completed all necessary safety and startup activities, and is now producing and selling ethanol and feed products.

“We are pleased to restart our Magic Valley facility and we are grateful for the cooperation our lenders and other stakeholders have extended,” CEO Neil Koehler said in a release. “The restart of the facility has also been well received by the local community.”

Pacific Ethanol said earlier that it planned to hire 35 to 40 employees, the Times-News reported.