Biodiesel producers to conduct feasibility study

Biodiesel producers to conduct feasibility study Biodiesel Producers of Yankton was awarded $120,000 from the Value-Added Ag Subfund, announced Chris Braendlin, commissioner, Governor's Office of Economic Development. The money will be used to investigate the overall feasibility of establishing a soybean processing plant to produce biodiesel fuel.

"This is really a two-phase project," Braendlin said. "(In the first phase, the producers will establish the feasibility of this project. This will include a risk analysis of constructing and operating a soybean processing facility that produces biodiesel," he said.

The second phase would include site identification, land acquisition, soil and water testing and air pollution monitoring. "The initial study will provide a comparison of locating the plant in up to five different communities, based primarily on transportation and availability of utilities," Braendlin said. "Phase two would include detailed comparisons of those sites.

"It certainly makes sense to explore the possibility of constructing this type of plant in South Dakota," Braendlin continued, noting that soybeans are one of the state's leading cash crops. "Our producers raised nearly 125 million bushels of soybeans in 2002. We need to find more ways to add value to those crops."

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