Article: BIODIESEL PLANT PLACED ON HOLD EVANSVILLE CONSTRUCTION IS HALTED BECAUSE OF HIGH PRICE OF SOYBEAN OIL.(BUSINESS)

Byline: MARV BALOUSEK mbalousek@madison.com 608-252-6135

High soybean oil prices have halted construction of the North Prairie Productions biodiesel plant in Evansville, making the end product too expensive compared with the pump price for regular diesel.

The going rate for soybean oil, the raw material for biodiesel, is about 45 cents a pound or $3.60 a gallon, more than double the price when the plant was proposed, said John Sheehy of Sun Prairie, board chairman of North Prairie Productions.

He said biodiesel would have to sell for $4.50 a gallon to justify the current price of soybean oil. Regular diesel fuel was selling for $3.49 a gallon Monday in the Madison ...

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