POET, the world’s largest producer of biofuels, has announced it will be reopening its bioprocessing facility in Cloverdale, Indiana, after federal and state policymakers took action to safeguard domestic markets for low-carbon biofuels.
The facility will create 50 full-time local jobs and generate demand for 34 million bushels of corn from Indiana farmers annually. Restarting the Cloverdale facility will bring POET’s network to a total of 34 bioprocessing plants across eight Midwest states, five of which are located in Indiana.
Jeff Broin, POET Founder and CEO, said:
We are very excited to be reopening our Cloverdale facility.
“The plant will undergo significant upgrades to include the same industry-leading advantages operating at other POET plants, and we are confident it will be a strong asset to the POET portfolio. We are grateful to the Putnam County Council and the Putnam County Economic Development Corporation for supporting this investment.”
POET is planning to invest $30 million in new technology to create operational efficiencies that will position the facility for long-term success and increase its annual production rate from 80 million to 95 million gallons of bioethanol.
Jim Baird, Congressman (IN-04).
Agriculture is at the backbone of Indiana’s economy.
“Bioprocessing, ethanol, and other biofuel facilities play an integral role in supporting rural jobs and strengthening local economies across Indiana and the Midwest. Facilities like POET – Cloverdale create new markets for family farms and contribute to state and local tax revenue all while improving vehicle emissions.”
“We’re fortunate to have POET’s investment in West Central Indiana, and the value it will bring to Hoosier farmers and rural communities.”
POET Bioprocessing – Cloverdale was initially idled in 2019 due in part to the U.S. Environmental Protection Agency’s mismanagement of small refinery exemptions (SREs). This created an artificial cap on domestic demand for bioethanol and drove RIN values to near-zero, which weakened the incentive for retailers to offer higher biofuel blends.
In recent months, however, the Biden Administration has made strides in showing support for biofuels, most notably with a waiver enacted in April lifting outdated restrictions on E15, a 15 percent bioethanol blend, to help curtail skyrocketing prices at the pump.
Additionally, in March, the Indiana Senate sustained Governor Eric Holcomb’s veto of anti-E15 legislation. Indiana’s strong support for E15 — including actions by the Governor, Lieutenant Governor, and legislature — was a key factor in POET’s decision to reinvest in the state.
“POET’s bioprocessing plants produce low-cost, low-carbon biofuels, bioCO2, high-protein animal feed, and a growing suite of other bioproducts from American grain,” said Broin.
“These facilities are good for farmers, good for rural communities, and good for the world, and we look forward to the positive impacts POET – Cloverdale will create in the years to come.”
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POET BIOPROCESSING – CLOVERDALE REOPENING IN 2023, May 25, 2022
