In May 2009 Pacific Ethanol’s subsidiaries which own its four ethanol production facilities, including the Magic Valley plant, had filed voluntary petitions under Chapter 11 of the US Bankruptcy Code in an effort to move out of indebtedness.
The bankruptcy court is expected to form an opinion about the planned restart at a hearing on December 14, 2009 at which the lenders providing debtor-in-possession financing for the Magic Valley facility are expected to support the initiative.
