Cascade Grain LLC (www.cascadegrain.com), a $200 million ethanol plant in Clatskanie, Ore., filed for Chapter 11 bankruptcy protection, according to an Associated Press (www.ap.org) report published in the Seattle Post-Intelligencer (seattlepi.nwsource.com). The plant began production in June, but halted in January when tests reportedly showed its ethanol was contaminated.

In its bankruptcy filing, the company said its plant contains at least two design flaws, as well as deficiencies in construction and materials. The company also said it has 50 to 90 creditors and owes a total of $3.6 million to its 20 largest creditors. Half of that amount is owed to Gailo Grain LLC for corn, according to the AP report.

Despite its troubles, the company said it intends to resume production once it is reorganized.

For the full story as published in the Seattle Post-Intelligencer, visit seattlepi.nwsource.com/local/6420ap_wa_ethanol_bankruptcy.html