Pennsylvania Gov. Edward Rendell Friday sent a letter to Getty Petroleum Marketing Inc., urging it to work with ethanol producer Bionol Clearfield LLC to resolve differences over a purchase agreement as the oil company's demand for arbitration threatens the repayment of $65 million of tax-exempt revenue bonds.
The Pennsylvania Economic Development Financing Authority sold the $65 million of bonds in late January 2008 on behalf of Bionol to help finance a new ethanol plant in Clearfield County, located in the center of the state. Stern Brothers & Co. priced the revenue bonds via private placement. The terms bonds will mature in 2015 and were not rated.