VeraSun Energy Increases Capacity to 340MMGY With Early Startup of Third Ethanol Plant

BROOKINGS, S.D., April 12 /PRNewswire-FirstCall/ -- VeraSun Energy Corporation , the nation's second largest ethanol producer, today announced the early startup of its 110-million gallon facility located in Charles City, Iowa. Construction on VeraSun's third ethanol production plant began in March 2006 and was completed nearly three months ahead of schedule. Charles City is located approximately 150 miles northeast of Des Moines, Iowa.

"We are pleased to announce our Charles City facility is starting production nearly three months ahead of schedule," said Don Endres, Chairman and Chief Executive Officer of VeraSun. "This early startup truly showcases the Power of Partnership(TM) among VeraSun, our contractors and the Charles City community. We are pleased to contribute even more to our nation's domestic fuel supply. The startup of the Charles City facility increases VeraSun's total annual production capacity to 340 million gallons per year."

The plant will annually process 39 million bushels of corn and produce 350,000 tons of distillers grains for livestock feed in addition to 110 million gallons of ethanol. Full production at the facility is scheduled to be reached within 30-45 days.

"Throughout the development and construction of the plant, VeraSun has more than exceeded our expectations," said Tim Fox, Executive Director of the Charles City Area Development Corporation. "We are proud that VeraSun is now a part of the Floyd County community and that we are playing a role to diversify our nation's energy needs."

The Charles City biorefinery is the latest in the roll out of VeraSun's large-scale plant model. Joining its sister facilities located in Aurora, South Dakota, and Fort Dodge, Iowa, the Charles City plant increases the Company's production capacity by nearly one third. VeraSun also has two additional facilities under construction in Hartley, Iowa, and Welcome, Minnesota, and is expected to announce the site for its sixth biorefinery this quarter. All of VeraSun's facilities - current and under construction - are designed with a 96-car unit train system, allowing for the efficient and flexible shipment of ethanol to markets beyond the Midwest.

"Bringing the Charles City plant online ahead of schedule is a testament to the dedication and commitment of our entire construction team - including superintendents, engineers and our contractors," said Paul Caudill, VeraSun's Senior Vice President, Operations. "Our contractors have done a tremendous job getting us ready for startup and we have also received great support from the Charles City community."

About VeraSun Energy Corporation

VeraSun Energy Corporation , headquartered in Brookings, South Dakota, is committed to being a leading producer of renewable fuel. The Company has three operating ethanol production facilities located in Aurora, SD, Fort Dodge, IA, and Charles City, IA, and two facilities under construction in Hartley, IA, and Welcome, MN. Upon completion of the new facilities, VeraSun will have an annual production capacity of approximately 560 MMGY. The Company also has plans to extract oil from dried distillers grains, a co-product of the ethanol process, for use in biodiesel production.

The Company markets E85, a blend of 85 percent ethanol and 15 percent gasoline for use in Flexible Fuel Vehicles (FFVs), directly to fuel retailers under the brand VE85(TM). VE85(TM), the first-ever branded E85, is now available at more than 80 retail locations. For more information, please visit VeraSun's Web sites at http://www.verasun.com/ or http://www.ve85.com/.