Agriculture Secretary Tom Vilsack announced today that USDA Rural Development has approved a $25 million loan to enable a Minnesota biodiesel facility to diversify its operations and significantly expand the production of advanced biofuels.
USDA Rural Development is providing SoyMor Biodiesel a $25 million guaranteed loan to purchase equipment that will enable SoyMor to convert multiple types of feed stocks, including an unrefined corn oil waste product from nearby ethanol facilities, into biodiesel. In its current configuration, the plant only has the ability to process soybean oil.
"The investment announced today helps fulfill the Obama Administration's goal of increasing production of biofuels while securing jobs in the alternative fuels industry," Vilsack said. "This is great news for a community that recently saw this company cease production of its operations due to tough economic conditions."
The loan is the second USDA Rural Development has made under the Section 9003 Biorefinery Assistance Program of the 2008 Farm Bill.