Ethanol start-up, Red Rock Renewables LLC, is moving into the next phase of development on a new fuel ethanol plant to be located in Pleasantville, Iowa.

Last week, the company received approval on a final development agreement with the city of Pleasantville and the plant will now move into the next and most critical phase for ethanol plant construction, funding.

According to the Iowa Renewable Fuels Association, only two Iowa ethanol plants started construction in 2007, the lowest number of starts since 1999. But there are at least four ethanol projects, including Red Rock Renewables, that have a good chance of getting launched this year.

Iowa currently has 28 operating ethanol plants and is the number one ethanol producing state with an annual capacity of 2.2 billion gallons.