BASEHOR, Kan. -- The Missouri Department of Natural Resources has granted regulatory approval under a waiver for Ethanex Energy Inc. to begin construction on its ethanol production plant in Cape Girardeau, Mo.

Ethanex at SEMO will be a state-of-the-art 132-million-gallons-per-year fuel-grade ethanol plant. The facility will include patented fractionation technology that reduces energy consumption by 25 percent, increases the value of co-products and increases the throughput capacity by 20 percent. This next generation technology contributes to a 25-percent lower production cost per gallon than standard ethanol facilities.

The plant will also incorporate Delta-T process technology, and Chevron Corporation will be the EPC contractor.

"Ethanex has been working closely with the Missouri Department of Natural Resources, and this waiver helps expedite our development process," stated Al Knapp, president and CEO of Ethanex. "We have been working diligently these past two months to prepare our three projects for the construction phase. We continue to build our organization and secure the industry partnerships necessary to operate successfully."

The waiver enables Ethanex to begin construction activities immediately. Before commencement of operations, the Department of Natural Resources must complete a technical review of Ethanex's permit application.

Ethanex Energy, Inc. is a renewable energy company currently developing three ethanol production facilities located in the Midwest, with a combined production capacity of approximately 400 million gallons of ethanol per year. The Company expects these three plants to be operational in 2008. Ethanex Energy is based in Basehor, Kan., with offices in Santa Rosa, Calif., and Charleston, S.C.

SOURCE: Ethanex Energy, Inc. via Business Wire.