Northern Ethanol, a company with its sights set on becoming a production leader of corn-based biofuel in Canada and the Eastern U.S., has agreed to acquire a 70 acre site from Praxair, Inc in Niagara Falls. The company plans to build it's first of three U.S. and Canadian based ethanol production facilities on the site.

Northern Ethanol plans to produce 400 million liters (105.6 US gallons) per year at the plant. The company believes that the plant's proximity to the Central Canadian and North Eastern US markets will provide them with significant competitive advantages over other ethanol producers, who must incur the costs of delivering ethanol from significant distances.

In May, Northern's Niagara Falls ethanol project was approved for 9,000 kilowatts of low-cost hydro-electric power from the New York Power Authority, which will provide them a savings of approximately $35million over the life of the contract.

Source: Northern Ethanol