Southwest Iowa Renewable Energy now controls roughly 230 million gallons of annual ethanol capacity after closing its purchase of GreenAmerica Biofuels Ord LLC from Pilot Travel Centers LLC on Oct. 9. The deal adds a Nebraska plant rated near 70 million gallons a year to SIRE's existing 160-million-gallon dry mill in Council Bluffs, Iowa. Financial terms weren't disclosed.

SIRE, a farmer-owned ethanol producer headquartered in Council Bluffs, has turned out more than 2 billion gallons of ethanol since it started production in February 2009. The Council Bluffs facility makes ethanol, distillers grains, corn syrup and corn oil.

What does the acquisition change for corn growers?

Plenty, if you farm in central Nebraska. The Ord plant sits in the heart of the state's corn belt, giving SIRE a second origination region alongside western Iowa. The company says it will keep the facility's existing workforce and continue buying grain from local farmers — a direct channel for roughly 70 million gallons' worth of corn demand that stays in place under new ownership.

The deal also widens SIRE's marketing reach. With two plants, the company can move more ethanol, distillers grains and corn oil to feed and fuel customers.

Who said what

"Our strategy is simple and disciplined: grow by investing in Council Bluffs and acquiring quality assets that make SIRE stronger for our members, our farmers and our customers," said Eric Fobes, SIRE president and CEO.

Fobes said the Ord plant complements existing operations and brings an experienced workforce and an established operating history.

The seller's side

Pilot, headquartered in Knoxville, Tennessee, is a wholly owned subsidiary of Berkshire Hathaway Inc. The company held GreenAmerica Biofuels Ord through its travel center and energy operations. The sale trims Pilot's ethanol footprint while handing a Berkshire-owned asset to a farmer cooperative.

Omaha-based law firm McGrath North Mullin & Kratz PC LLO advised SIRE on the transaction.

With the purchase closed and the workforce retained, SIRE's next test is execution: integrating a second plant and a second corn shed while pushing combined output toward the full 230-million-gallon nameplate.