Cardinal Ethanol Llc's Business Segments

Cardinal Ethanol, LLC is an Indiana limited liability company formed on February 7, 2005 with the name of Indiana Ethanol, LLC. We were formed for the purpose of raising capital to develop, construct, own and operate a 100 million gallon per year ethanol plant in east central Indiana near Union City, Indiana. We began producing ethanol, distillers grains and corn oil at the plant in November 2008. In August 2010, we obtained a new Title V air permit allowing us to increase our annual ethanol production to 140 million gallons compared to 110 million gallons under our previous permit. We have been operating at an annual rate of approximately 120 million gallons for the fiscal year ended 2016. We anticipate that our production will increase for the fiscal year ended September 30, 2017 due to the completion of certain projects to increase our production capacity.

Cardinal Ethanol LLC is a significant player in the renewable energy sector, focusing primarily on the production of ethanol and co-products derived from agricultural feedstocks. The company operates within the framework of sustainable practices and plays a key role in the corn-to-ethanol production process, which provides a substantial contribution to the biofuel market and renewable energy landscape.

Segments:

1. Ethanol Production:
- Primary Product: The core business of Cardinal Ethanol focuses on the production of fuel-grade ethanol. This is achieved by fermenting corn, which is the main feedstock used. The ethanol produced meets the high-quality standards required for blending with gasoline, making it suitable for environmentally-friendly transportation fuels.
- Volume Capacity: The plant is designed to produce a significant volume of ethanol annually, contributing to the local economy and providing a renewable source of energy.

2. Co-Products:
- Distillers Grains: A vital by-product of the ethanol manufacturing process, distillers grains (both wet and dry) are high in protein and are often used as animal feed, particularly for cattle, pigs, and poultry. This not only adds value to the ethanol production process but also supports the agriculture sector by providing a nutritious feed option.
- Corn Oil: Another by-product is corn oil, which is extracted from the distillers grains. This oil can be used for biodiesel production or as a food product, thus adding another revenue stream to the overall operation.

3. Renewable Energy:
- Sustainable Practices: Cardinal Ethanol emphasizes its commitment to sustainable energy practices, ensuring that their production methods minimize environmental impact. This includes advancements in reducing water usage, energy consumption, and greenhouse gas emissions during the ethanol production process.
- Carbon Credits: The company may also engage in carbon credit trading, fostering initiatives that enhance sustainability and promote the use of renewable energy sources.

Products:

1. Fuel Ethanol:
- E85: A blend containing up to 85% ethanol is available for flexible-fuel vehicles, promoting higher renewable content and lower greenhouse gas emissions compared to traditional gasoline.

2. Animal Feed (Distillers Grains):
- Wet Distillers Grains (WDG): Typically used shortly after production and often contains about 65% moisture. WDG is used primarily for immediate feed needs, particularly in nearby markets due to its high moisture content.
- Dried Distillers Grains (DDG): This by-product is dried to reduce moisture and enhance shelf-life, making it suitable for long-distance transportation and storage.

3. Corn Oil:
- Crude Corn Oil: This is extracted during the ethanol production process and can be processed further for use in biodiesel or as an ingredient in various food products.

Services:

1. Research and Development:
- Cardinal Ethanol invests in R&D to improve production efficiency, reduce costs, and develop new processes or products that can enhance the sustainability of their operations.

2. Market Support and Consultation:
- The company may offer consultancy services to agricultural producers or industry partners looking to understand the ethanol market. They may provide insights into feedstock sourcing, market conditions, and compliance with regulatory frameworks.

3. Community Engagement and Education:
- Engaging with local communities through educational programs about the benefits of renewables, biofuels, and sustainable agriculture is often a priority. They may participate in workshops, conferences, and informational sessions aimed at increasing awareness and understanding of ethanol’s role in energy independence.

Conclusion:

Cardinal Ethanol LLC stands as a multifaceted entity within the renewable energy landscape, contributing not only through the production of ethanol but also by efficiently utilizing agricultural resources to create valuable by-products. As the company continues to innovate and adapt to changing market demands, its comprehensive approach to renewable practices and community involvement reflects its commitment to fostering a sustainable economic future.