Perdue BioEnergy and ethanol producer Bionol Clearfield have signed an agreement under which Perdue will supply feedstock and sell co-products for Bionol's 110 million gallon per year ethanol plant in Clearfield, Pennsylvania.

Under the agreement, Perdue BioEnergy will supply approximately 40 million bushels of corn as feedstock for the Clearfield plant.

Perdue plans to purchase as much corn as possible from area farmers and bring the remainder from Midwest rail locations.

The agreement will allow Perdue to market and sell 385,000 tons of the distillers grains, a co-product of ethanol production, as a feed ingredient to area feed mills serving Pennsylvania dairy, turkey and chicken operations as well as to international markets.

Bionol’s parent company, BioEnergy International invested more than $200m in plant and infrastructure to construct the first commercial-scale ethanol plant in Pennsylvania, which began production in December 2009.

BioEnergy chairman and CEO Stephen Gatto said that Perdue’s ability to capitalize on home-grown corn and to market the distillers grains locally will continue to maximize the competitiveness of this important destination ethanol plant.