ADM Milling announced August 26 that the company will be closing its Keokuk, IA, plant permanently.
According to reports, ADM has indicated that they are looking to sell the facility at some point in the future.
Wastewater pretreatment issues
A press release from City Administrator Cole S. O’Donnell said since January of this year, the city has been working with ADM to address issues related to the plant’s wastewater pretreatment.
The pretreatment operation at the Keokuk plant experienced many upsets and failures that have resulted in loadings to the Keokuk wastewater treatment facility resulting in the city’s facility being in noncompliance of its discharge permit.
The city believes that the cost of improving the pretreatment operation directly influenced ADM’s decision to close the plant.
When informed of ADM’s announcement, Mayor Kathie Mahoney said the city is disappointed in the decision.
“We are all disappointed in ADM’s decision to close the Keokuk plant rather than invest the necessary capital to improve the facility and maintain operations," said Mahoney. "The city will be working with local and state officials to hopefully find a company to replace ADM.”
ADM helping colleagues with next steps
Dane Lisser, ADM spokesperson, told the Daily Democrat that the company regularly reviews its global footprint to determine whether assets are best positioned to meet customer needs and advance its growth strategy.
After exploring a wide variety of alternatives, Lisser said company officials have determined the Keokuk plant no longer aligns with its milling business’s future operation needs.
The closure will impact 75 to 90 jobs.
"We hope to find opportunities in other ADM facilities for as many colleagues as possible," Lisser said. "For those who do leave the company, there will be appropriate financial severance and we’ll be offering support to help them find other employment."