Ethanol produced from the plant is expected to be sold to Canadian and Californian markets.
The facility will be built on an 11-acre plot north of Simplot. Chmielewski said he expects more companies to follow suit in breaking ground in the area.
BioMass, the Wisconsin company behind the project, has gained support locally in the form of a five-year declining tax exemption. The Grand Forks City Council approved the incentive, which will equal about $456,600.
The Grand Forks County Commission also approved a resolution to help the business sell $80 million in bonds, which will go toward the project. The county is not liable for the bonds, and taxpayers will not see a tax increase because of the issuance.
The “can do” attitude of Grand Forks is one reason why BioMass chose to build the biorefinery in the city, Chmielewski said, noting that local leaders have been supportive of the project.
“It’s been a wonderful experience,” he said of the support.
The Grand Forks Region Economic Development Corp. has been working to support the project for four years, and seeing it finally come to fruition is rewarding, EDC President and CEO Keith Lund said. In addition to the construction and permanent employees, Lund said the plant would create about 20 secondary jobs to support activity at the plant, including hauling sugar beet byproduct to the biorefinery.
“In terms of the construction of the project, $35 million will be invested with local businesses for the construction and procurement of goods and services to build the plant,” Lund said.
It also will add value to the companies that supply sugar beet byproduct, Lund said, adding the economic impact will be significant for the region.
Chmielewski declined to say how much the facility will cost to build, though he said it would be a “state-of-the-art” plant that would have one of the lowest carbon footprints in North America.