Saturday, July 29, 2006
Groundbreaking is at least eight months away.
By WILLIAM K. ALCORN
VINDICATOR STAFF WRITER
GREENFORD -- Monroe Energy expects to decide within a couple of months which of four Mahoning Valley sites will be the location for a $134 million ethanol plant.
The sites under consideration are in Lowellville, Lordstown, and two in Fairfield Township in Columbiana County , one near Leetonia and the other near Columbiana, John Monroe, company owner, said.
The 161-acre Lordstown parcel is located along Bailey Road, just west of the General Motors complex abutting the Ohio Turnpike. It is owned by Norfolk & amp; Southern Railroad.
Study complete
Monroe said the plant feasibility study is complete, but breaking ground for the project is at least eight months away.
He said it will be at least 18 months from the start of construction to production, which he estimated would be 50 million gallons the first year.
Thereafter, he plans to expand the plant, upping the production of ethanol to 100 million gallons, and also producing bio-diesel fuel.
Looking ahead, Monroe said his company is already looking at using other materials to produce fuel, such as grass, certain wood chips and solid wastes.
At for now, Monroe said engineers are evaluating the four sites, the number of which was whittled down from 12.
Monroe said the 50-million-gallon plant would have 40 to 50 employees, and create some 1,500 to 2,000 spinoff jobs, such as truck drivers. He said plant jobs would range from chemists to load operators to laborers and office support staff.
Lowellville
Lowellville Mayor James Iudiciani said he thinks his community's site, the former location of Sharon Steel, has a good chance of being chosen for the new plant.
Iudiciani said the 366-acre site is on the south side of the Mahoning River adjacent to Poland Township and Struthers. It is owned by Sharon Slag Co.
Iudiciani said the Lowellville site has all utilities available that are needed, as well as two railroads and easy access to major highways.
Also, the mayor said methane gas from the nearby BFI solid waste landfill could be used as a less expensive alternative to natural gas to operate the plant; and water from the river would be available for cooling, provided the U.S. Army Corps of Engineers gives its approval.
Iudiciani said the corn would come to the plant by rail, but the products, which would include animal feed, vegetable oil, and fertilizer, in addition to ethanol, would be hauled away by truck.
He said project downsides to the community are increased truck traffic -- 250 trucks a day would be required to haul product -- and potential odor.
The negatives to the site are that substantial excavating would be required to achieve the 800 feet setback Monroe requires; and the soil of the former Sharon Steel would need cleaned up.
Legislative help
Help might become available in that area through a new bill introduced by state Rep. John Boccieri of New Middletown, D-61st.
The bill proposes tax incentives for ventures that manufacture ethanol, bio-diesel and other alternative fuels on reclaimed brownfield sites.
State incentives would include commercial activity tax exemptions, credits against the franchise tax, additional tax credits for brownfield cleanup costs and an expedited Environmental Protection Agency permitting process, officials said.
Monroe said the company is hoping for tax abatements and other incentives to make the project more affordable.
The company
Monroe Energy, with headquarters in Greenford, is a relatively new business created by the Monroe family, which has been working on the ethanol project for about 15 months.
The family also operates Monroe Excavating; Monroe Developing, which develops residential and commercial sites; and Monroe Creations, which rents out heavy equipment and tools.
alcorn@vindy.com