Dublin, Ireland-based
ClonBio Group, a family-owned agribusiness that manufactures sustainable bioproducts from grains, will increase its investment to $500 million in a previously shuttered biorefinery in Jefferson County that the company acquired in 2022
The facility, located at W5289 Joe Turley Way between Jefferson and Johnson Creek, is operated by
Aztalan Bio, a subsidiary of ClonBio Group.
San Antonio, Texas-based
Valero Energy Corp. previously operated the plant until
shutting it down in 2021.
ClonBio Group bought the mothballed ethanol plant several months before the passage of the federal Inflation Reduction Act in 2022. Over the last 18 months, ClonBio Group has invested $100 million to acquire and upgrade the plant, which is now the largest grain processing facility in Wisconsin.
Following the passage of the IRA, ClonBio Group is planning to "rapidly increase" its investment in the facility by $400 million. The company is planning to complete this investment "over the coming years" instead of over the next decade, according to the announcement.
The planned $500 million cumulative investment will support more than 1,000 local jobs, according to a Monday announcement from ClonBio Group.
“This investment will lead to more than 1,000 direct and indirect jobs in Wisconsin. It will apply state-of-the-art science to underpin farming practices and farm incomes, whilst tackling emissions and climate change head on. It will drive the most efficient use of grain in the history of the United States," said
Jeff Oestmann, chief executive officer of Aztalan Bio. "Every part of the corn kernel is going to be used efficiently to make starch based, fiber based, protein based and fat-based foods, feeds, and fuels, thereby promoting the circular economy and maximizing food security. ClonBio’s biorefinery will make U.S. farmers indispensable partners in both energy and food security globally."
ClonBio Group is submitting an application the U.S. Department of Energy for a $400 million loan guarantee.
The company proposes the use of IRA tax credits to support the construction of a combined heat and power plant and one of the largest cellulosic renewable natural gas plants in the United States.
ClonBio biorefineries use natural processes to refine locally produced grain for use in a wide range of applications including proteins and fibers for human and animal nutrition, ethanol for a range of fuel and industrial uses and organic fertilizer for farming.
The company earns revenues of about a $437 million a year, according to The Irish Times. Representatives with ClonBio Group did not immediately respond to questions Monday morning.
