In Texas, Green Plains Inc. and Murphy USA Inc. (announced that they have signed a definitive agreement regarding the purchase by Green Plains of Murphy USA’s ethanol production facility located in Hereford.
Under the terms of the agreement, Green Plains will acquire Hereford Renewable Energy, LLC for approximately $93.8 million, subject to customary closing adjustments. The transaction value includes $78.5 million for the ethanol production facility with the balance for working capital. The transaction is expected to close this month subject to customary closing conditions and regulatory approvals.
The facility is a Lurgi-designed, ICM-modified ethanol plant with approximately 100 million gallons per year of production capacity, a corn oil extraction system and other related assets.