PEKIN, Ill. -- Aventine Renewable Energy Inc. has signed an agreement to market all fuel grade ethanol produced by E3 BioFuels-Mead. The 24-million-gallon-a-year ethanol plant located in Mead, Neb., will begin production in July 2006.

The E3 BioFuels-Mead relationship marks Aventine's 14th ethanol marketing agreement. Aventine currently supplies ethanol through the company's ethanol plant production, business relationships and marketing agreements. Terms of the E3 BioFuels-Mead agreement were not disclosed.

Ethanol is a domestic, renewable fuel that is used as a high-quality octane enhancer. As an oxygenate, ethanol is capable of reducing air pollution and improving automobile performance. Ethanol blended fuels account for more than 12 percent of all automotive fuels sold in the United States.

SOURCE: Aventine Renewable Energy Inc. via PR Newswire.