Hawkeye Renewables Announces Sale of Ethanol Plants to Flint Hills Resources Renewables
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AMES, Iowa, Jan. 6, 2011 - Hawkeye Renewables, LLC announced today that it entered into an agreement to sell its ethanol plants located in Iowa Falls and Fairbank, Iowa, to Flint Hills Resources Renewables, LLC in an all-cash transaction. Flint Hills Resources Renewables is an affiliate of Koch Industries, Inc. and Flint Hills Resources, LLC, a leading provider of transportation fuels used in the Upper Midwest. The purchase price for the transaction is not being disclosed. The transaction is subject to customary closing conditions and is expected to close early in the first quarter of 2011. Hawkeye Renewables has received the requisite consent from its equity holders to approve the transaction.
Hawkeye Renewables emerged from its Chapter 11 restructuring on June 18, 2010, under new equity ownership. "Over the past six months we have made significant progress in improving Hawkeye Renewables' operations," said James V. Continenza, Chairman of the Board of Directors of Hawkeye Renewables. "Our agreement with Flint Hills builds on this solid foundation and represents a successful conclusion to the strategic review that our Board began to maximize equity holder value." Mr. Continenza added, "It is my belief that Flint Hills Resources Renewables will be a committed operator in the Iowa community and will work diligently to develop and maintain relationships with Hawkeye Renewables' existing vendors, suppliers, and farmers."
About Hawkeye Renewables
Hawkeye Renewables is an ethanol producer that specializes in ethanol and dried distiller grains, with plants in Iowa Falls and Fairbank, Iowa. Hawkeye Renewables' facilities currently produce approximately 225 million gallons of ethanol production per year. For more information, please visit www.hawkrenew.com/.
SOURCE Hawkeye Renewables, LLC
CONTACT:
Timothy B. Callahan,
Chief Financial Officer of Hawkeye Renewables, LLC,
+1-515-233-5577
Web Site: www.hawkrenew.com
