The idea of an ethanol plant in West Duluth has been shelved due to various economic factors.
Stora Enso and AGRA Corporation have been holding informal talks with City of Duluth representatives and neighborhood groups about the feasibility of building a plant adjacent to Stora Enso's existing Duluth facility.
"What was learned is that ethanol and its production is a commodity market just like gasoline and AGRA, after exhaustive study, just wasn't able to make the idea work economically," Mayor Herb Bergson said. "I am pleased with both the spirit of the negotiations and the viability of Duluth as a
potential center for environmentally-friendly industry."
"This shouldn't be seen as a reflection on Duluth," the mayor added. "This should in no way limit our ability to attract such industries in the future."
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"Stora Enso is disappointed that Agra was not able to make the project work from a financial perspective," said Stora Enso's Duluth mill manager, Pat Moore. "However, there are positives. The city was great to work with and is clearly focused on business development. Also, the concept of bringing different
businesses together and developing synergies which are mutually beneficial has a lot of merit, and we will continue to look for similar opportunities in the future."
City of Duluth press release