November 5, 2008

VeraSun Delays Statrup of Janesville Ethanol Biorefinery

VeraSun Energy has announced that it is indefinitely delaying the startup of its 110 million gallon-per-year ethanol biorefinery in Janesville, Minnesota. VeraSun will continue operations at its 14 facilities across an eight-state region.

Earlier VeraSun had filed voluntary petitions for relief under chapter 11 of the US Bankruptcy Code to enhance liquidity while it reorganizes.

However, at this time, the secured lender of the plant has not provided the necessary financing to continue construction and startup activities. Efforts to secure financing for Janesville are underway.

Construction on the Janesville facility is nearly complete and the plant was scheduled to begin operations prior to the end of 2008. Construction began in January 2007 and ownership of the plant changed under VeraSun on April 1, 2008, following its merger with US BioEnergy.