Bunge North America and Southwest Iowa Renewable Energy have announced plans to build and operate a 110-million gallon per year ethanol production facility near Council Bluffs, Iowa, according to a company release.

Southwest Iowa Renewable Energy, LLC (SIRE) is an entity primarily owned by farmers in Southwest Iowa that was formed in 2005 for the purpose of developing and operating the proposed plant. On Saturday, SIRE formally closed a successful investment round to provide equity for the project. Under the agreement, SIRE’s farmer members would hold the majority of shares while Bunge would be the largest single shareholder. Bunge would market the by-products and provide other key services for the new facility. AGRI-Bunge, LLC, a joint venture between Bunge and AGRI Industries, an Iowa cooperative, would be responsible for grain origination to support plant operations.