California Ethanol + Power is entering into a 15-year marketing arrangement for global agribusiness leader CHS Inc. to be the exclusive marketer and distributor of ethanol from Sugar Valley Energy, currently being constructed in Imperial County, California. Sugar Valley Energy is expected to complete financing this fall and break ground before the end of 2020 with production set to begin in 2023 at an annual capacity of 68 million gallons of low-carbon fuel-grade sugarcane ethanol.
CHS, the nation’s leading agribusiness cooperative owned by farmers, ranchers and cooperatives, produces 260 million gallons of fuel-grade ethanol and markets 900 million gallons of ethanol each year, making CHS one of the nation’s largest suppliers of ethanol-enhanced gasoline and the largest U.S. retailer of E85 ethanol.
“As an energy provider for rural America, CHS continues to identify new technologies and new partners to help enhance reliable energy supply for our owners from diverse sources, while minimizing environmental impact,” said Brian Schouvieller, senior vice president, CHS Global Grain Marketing. “We look forward to collaborating with California Ethanol + Power and Imperial Valley sugarcane growers on this initiative.”