Clayton biodiesel plant site on auction block


A biodiesel plant in Clayton will be sold at auction this month.

The Chesapeake Green Fuels facility was originally built in 2006/2007 by Mid-Atlantic Biodiesel, with a capacity of five million gallons per year.

The plant was built during a boom in biofuels production that seemed to promise a new market for farmers. Biofuels are made from corn kernels and are later added to vehicle fuels.

The plant capacity was doubled in 2009 by Chesapeake. The plant was then put up for sale in 2010.According to the auctioneer Maas Companies, Chesapeake’s plant assets are now surplus.

DuPont Co., seeking lower costs for biofuel production, shut down a plant in Iowa that converted plant waste left after the corn harvest to ethanol. It has since been sold to a German company that will convert corn to natural gas.

The equipment in Clayton will be sold as one package to remain on location or to be moved.

The land is available via a long-term lease with Norfolk Southern Company that can be assumed or negotiated and has a rail spur that services the site with high capacity loading and unloading.

Tyler Maas, director of sales and marketing for Maas Companies, stated, “This auction offers a great opportunity for a new owner in the renewable or like industry or a local buyer with a regional business interest.”

The six-acre property has 335,400 gallons of tank storage on rail siding, plus a 6,944 square foot production building, 3,000 square foot shop building along with a modular office. The property currently has an income-producing tenant in place, according to Maas.

Details of the sale are available at the auction website, or by contacting the auction company directly at 507-285-1444.

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