Miami — BioNitrogen Corp. said April 2 that it has lined up another site to build a biomass-to-urea plant. The company said it has signed a letter of intent (LOI) to construct the company’s second planned fertilizer plant at the Levelland Industrial Rail Park, Levelland, Texas. The LOI is between The Levelland Economic Development Corp. (LEDC) and BioNitrogen, and summarizes the understanding that BioNitrogen plans to construct a new manufacturing plant to use local organic matter as an input to produce urea for the region. The first plant is to be built in Lubbock, Texas (GM Feb. 27, p. 9) at a cost estimated to be $65 million; it will employ at least 35 full-time employees once fully operational. The LOI outlines that the LEDC will convey to the Company Lot Number 1 of the Levelland Industrial Rail Park in Levelland, Texas (approximately 24.5 acres) for the purchase price of $850,000.00 (market value), being equivalent to $35,000.00 per acre x 24.5 acres. Based on the projected capital investment and employment levels, the LEDC will provide the land at no cost provided that all due diligence is met in accordance with LEDC requirements. The modular plants are expected to have a design capacity capable of manufacturing up to 15 tons of urea fertilizer per hour for a total annual production of up to approximately 124,200 tons per plant, which anticipates 20 days for equipment maintenance and upkeep.
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