ConAgra Drops Plan For Ethanol Plant At Clovis

CLOVIS, N.M. (AP) – ConAgra Foods has dropped plans to build an ethanol plant in Clovis.

The Clovis Industrial Development Corporation announced Tuesday that ConAgra notified it that the company would not move ahead with the plant because of the current economic environment and the volatile ethanol market.

Last month, the state Environmental Improvement Board ordered another hearing on the plant after citizens’ groups that opposed it appealed the Environment Department’s decision to issue an air quality permit for the facility.

Profits at producers of corn-based ethanol have come under stress recently as commodity costs surged and ethanol prices became depressed because of the sector’s rapid expanion.

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