Maumelle Mayor Mike Watson
Green Plains Partners LP of Omaha, Nebraska, and Delek U.S. Holdings Inc. of Brentwood, Tennessee, announced plans Wednesday to form a joint venture and build an ethanol unit train terminal on a Union Pacific Railroad line in Maumelle.
The $12 million project to build the terminal is expected to be complete in the fourth-quarter of 2016, the companies said in a news release.
Mayor Mike Watson of Maumelle told Arkansas Business on Thursday that he didn’t know how many jobs the terminal would support. He said the project is in its early stages, and that the companies are working with property owners to purchase the land.
He said the terminal would be located in Maumelle Industrial Park if all goes as planned.
“The investment by Green Plains Partners and Delek U.S. is a positive economic development opportunity for both the city of Maumelle and surrounding Little Rock area,” Watson said in the companies’ news release.
The companies said the new terminal would have the capacity to handle 110-car unit trains in less than 24 hours. It would initially include storage for 4.2 million gallons of ethanol.
Green Plains and Delek would jointly operate the terminal.
“When completed, this new terminal will allow ethanol to be delivered more efficiently into the Little Rock and surrounding markets,” said Green Plains President and Chief Executive Officer Todd Becker. “This certainly will give the joint venture a platform upon which to build.”
Earlier this month, Green Plains agreed to buy an ethanol production facility in Hereford, Texas, from Murphy USA Inc. of El Dorado for $94 million.
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