The Heron Lake BioEnergy plant has been sold for $55 million.
MPR reports the Guardian Cos., based in Janesville in southern Minnesota, purchased the 60 million-gallon-a-year ethanol producer, which is struggling financially.
The Heron Lake plant, located in Jackson County in southwest Minnesota, cost more than $100 million to build. Through the first nine months of 2012, the plant lost nearly $3 million.
The bargain price of the transaction reflects tough times in the renewable fuel business. There is oversupply of ethanol, while prices for corn, ethanol's main ingredient, soared to record levels.