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Why DuPont Closed Its Iowa Cellulosic Ethanol Plant—and What Happened Next

DuPont closed its Nevada, Iowa, cellulosic ethanol operation in 2017 as its parent company shifted toward specialty products. VERBIO announced a planned renewable natural gas use for the site in 2018, but that does not confirm current operations.
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DuPont announced in November 2017 that it would stop operations at its cellulosic ethanol plant in Nevada, Iowa, and seek a buyer for the facility and its technology. The company tied the decision to DowDuPont’s strategic shift toward specialty products—not to abandoning every biofuel-related business. In 2018, VERBIO agreed to acquire the site and said it planned to make renewable natural gas there; that announcement does not establish the plant’s current operating status or output.

Why did DuPont put the Iowa plant up for sale?

On November 2, 2017, DuPont Industrial Biosciences announced that it was seeking a buyer for its Nevada, Iowa, biorefinery and associated technology. The decision came about two years after the facility opened in October 2015. DuPont said the move reflected DowDuPont’s strategic shift toward becoming a specialty-products company. The company’s third-quarter 2017 filing separately recorded restructuring actions approved by the board on November 1, including actions connected to its cellulosic biofuel business (Successful Farming / Agriculture.com; SEC Form 10-Q).

DuPont described the sale search as a change in how it would participate in cellulosic biofuels. It said it still believed in the technology’s future, while concluding that finding a strategic buyer for the plant and technology was in its long-term interest. The statement, reproduced by Ethanol Producer Magazine, was attributed to DuPont as a company, not to a named executive.

What was the Nevada facility designed to produce?

The reported $225 million facility was designed to produce 30 million gallons of cellulosic ethanol annually from corn stover—the stalks and other crop residue left after corn is harvested. Those figures describe the facility’s investment and nameplate capacity, not verified production. The plant was still in start-up, and a contemporaneous report said DuPont had paused collecting stover for the 2016 harvest because it lacked storage capacity (Successful Farming / Agriculture.com; DTN / The Progressive Farmer).

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DTN reported that the facility expected to use about 375,000 tons of corn stover annually, sourced from roughly 500 local farmers. That was the planned feedstock supply, not a documented annual harvest. Successful Farming, summarizing Des Moines Register reporting at the time, reported that roughly 90 workers were let go when operations stopped; this is a contemporaneous staffing figure, not a current employment count.

Did DuPont leave the biofuels business?

No. DuPont said it would continue participating in the overall biofuels market through specialty offerings, including biofuel enzymes and engineered yeast intended to improve producers’ yield and productivity. The plant sale should therefore be understood as a decision about the Nevada facility and the company’s role in cellulosic fuel production—not evidence that DuPont ended all biofuel-related activity (Ethanol Producer Magazine).

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What happened to the plant after the sale announcement?

On November 8, 2018, VERBIO North America announced an agreement to acquire the Nevada plant and part of its corn-stover inventory, subject to customary closing conditions. VERBIO said it intended to install facilities to make renewable natural gas (RNG) from corn stover and other cellulosic crop residues. Its announcement described about 100,000 tons of baled corn stalks as part of the contemplated purchase; that inventory figure is not an annual throughput estimate (VERBIO SE).

Iowa Public Radio later reported on the acquisition plan and described the site as idled. The available announcements establish the proposed transaction and intended reuse, but do not establish whether all planned facilities were completed or what the plant produces today.

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How did the proposed use change?

Aspect DuPont’s original facility VERBIO’s announced plan
Product Cellulosic ethanol Renewable natural gas
Feedstock Corn stover Corn stover and other cellulosic crop residues
Evidence Designed for 30 million gallons per year; this is nameplate capacity, not proof of actual output (Successful Farming / Agriculture.com) Intended use stated in VERBIO’s 2018 acquisition announcement; not proof of completed facilities or current output (VERBIO SE)

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