MAUMEE, Ohio -- The Andersons Inc. and Marathon Oil Corporation have signed a definitive agreement forming a 50/50 joint venture, which will construct one or more ethanol plants. The joint venture will operate under the name The Andersons Marathon Ethanol LLC.



As a part of the agreement, The Andersons will provide day-to-day management of the ethanol plants, as well as corn origination, and distillers dried grain and ethanol marketing services. Marathon is one of the nation's leading blenders of ethanol in gasoline and this venture will enable the Company to maintain the reliability of future ethanol supplies.



Site selection for the venture's initial plant is expected to be finalized soon and is contingent upon several factors including access to adequate corn, proximity to ethanol and distillers dried grain customers, infrastructure and transportation and economic incentives. Decisions related to the construction of any additional ethanol plants will be dependent upon a variety of market conditions and other relevant factors.



The Andersons Inc. is a diversified company with interests in the grain, ethanol and plant nutrient sectors of U.S. agriculture, as well as in railcar leasing and repair, turf products production, and general merchandise retailing. Founded in Maumee, Ohio, in 1947, the company now has operations in seven U.S. states plus rail leasing interests in Canada and Mexico.



Marathon is the fourth-largest U.S.-based fully integrated international energy company engaged in exploration and production; integrated gas; and refining, marketing and transportation operations. Marathon is the fifth largest refiner in the U.S. with 974,000 barrels-per-day of crude processing capacity in its seven-refinery system. The Company's retail marketing system comprises approximately 5,600 locations in 17 states; nearly three-quarters are Marathon brand locations.



SOURCE: The Andersons, Inc. via PR Newswire.