Just a day after the state refused Archer Daniels Midland Co. (ADM) millions in state tax breaks and their decision to set up its new international headquarters in Chicago, they announce their decision to build a new plant within its Decatur processing complex.
ADM announced, yesterday, they will invest more than $6.5 million to increase their refine crude vegetable oil "acid oil" production capacity to 800,000 pounds per day, the plan also includes a new loading station for trucks and rail cars. ADM already produces the ingredient at refineries in Enderlin, N.D.; Quincy, Ill.; and Windsor, Ontario. They said the new plant is slated to be completed by the second half of 2014.
The Decatur facility will produce "acid oil " from the raw soap stock that is a naturally occurring co-product of the vegetable oil-refining process. A pound of acid oil contains approximately two-and-a-half times the calories of a pound of corn, which allows livestock producers to save costs by substituting acid oil for a portion of the grain normally used in their animals' rations. Acid oil is also used in industrial applications, such as lubricants.
"We at ADM are continually evaluating our process streams to determine how we can provide additional value to our food, feed and industrial customers," said Ray Bradbury, vice president of the company's North American Oils group. "We're confident our integrated business model and deep experience in acid-oil production will enable us to deliver a quality product that's competitively priced."