Plans for Corunna ethanol plant in jeopardy

CORUNNA (WJRT) -- (12/30/07)-Plans for a $150 million dollar ethanol plant in Corunna appear to be on hold. Work was originally slated to begin on an E-85 plant in Corunna this month.

The facility was slated to be built on 300 acres off Parmenter Road near M-71.  But now, a plan to build the plant has stalled.

"It's not dead," said Corunna City Manager Joe Sawyer.  "We're in a very frustrating holding pattern at this point."

Last July, the state gave the city of Corunna a $900,000 grant for the project which will now have to be declined.  The city sent their official notification to the state this week. 

The city will hopefully have a better idea if the project can still move forward this summer.  At that point -- if funds are still available -- they can reapply for the grant.

Efforts are currently underway constructing ethanol plants in Iowa and Nebraska.

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