J. David Swearingin
     President
     Carrollton, MO 
Bob Littleton
     Vice-President
     Dalton, MO 
Kevin Fischer
     Secretary
     Rockville, MO
Ron Gibson
     Treasurer
     Norborne, MO
Charles R. Dunlop
     Parker, KS 
Irvin Maddox
     Salisbury, MO
Marvin Oerke
     Butler, MO
Jim Reser
     Lincoln, MO
Ray E. Stropes
     Chilhowee, MO
Huleigh Wilson
     Nevada, MO 
Harold Wolf
     Tipton, MO 

Butch Endicott
   Chief Operations Officer

One of the most often asked questions -
Can AEPI still make a profit with soybeans at $12.00? Yes!
Below is a crush margin chart from CBOT

     214 members registered at the annual meeting on Saturday, Jan. 23, 2010.   Jerry Bengtson, Heartland Financial Services, presented an encouraging report.   Troy Norton, Wiliams-Keepers presented the audited financial report.   Ron Gibson, Jim Reser, and Ray Stropes were re-elected to the Board of Directors.   Several members asked questions and expressed both their concern and support for the project.   The meeting adjourned approximately 2:30 PM with a rousing applause of support for the board's leadership.

Reminder: Your 2009 1099-PATR was sent to you in May along with your dividend check.   No other 1099-PATR will be sent.  If you have lost yours, please email Donna.  

     Carrollton, MO – February 27, 2009 – American Energy Producers, Inc. (“AEPI” or the “Company”) has announced that it has submitted a proposal to Missouri Governor Jay Nixon’s Transform Missouri Initiative, which allows Missourians, non-profit organizations, local governments and businesses to share ideas and submit proposals for projects that will maximize the benefit of funds received from the American Recovery and Reinvestment Act to create jobs in Missouri that will transform the state’s economy. This initiative focuses on developing human capital, enhancing information and transportation infrastructure and expanding research and development of alternative sources of energy in Missouri.  

     J. David Swearingin, President of AEPI stated, “Governor Nixon’s Transform Missouri Initiative is perfectly aligned with the vision of our 989 cooperative members; that is to develop a state-of-the art integrated soybean extraction and biodiesel facility that will not only stimulate economic development in Missouri, but will create jobs that will help Missourians compete globally in the 21st century. Mr. Swearingin continued, “AEPI represents a unique opportunity to invest in Missouri’s economic future because we will add much needed soybean crushing capacity that will increase the value of soybeans for local producers. In addition, we will be positioned at the forefront in the development of alternative energy by producing environmentally-friendly biofuels from locally-grown soybeans that ultimately reduces our nation’s dependence on foreign oil sources. Like many Americans, we believe that the United States can lead once again by investing in the power of clean, renewable energy.”

(Members Note: The full press release was sent to 362 members for whom we have email addresses. Of those sent, 62 were returned to us as being an undeliverable email address. If you have an email address and did not receive the press release (and a request for help) then send an email to info@aepi.ws)

2009 Annual Meeting

     A standing room only crowd of over 200 representing 169 members attended our 2nd Annual Meeting held Saturday, Jan. 24, 2009, in the Rupe Center, Carrollton, MO.    A construction update was presented by A-Lert's Site Manager, Gary Karaff, and an audited financial report was given by Troy Norton with our auditing firm, Williams - Keepers.    All five incumbent directors running for reelection were elected.    The majority of the meeting was devoted to answering the questions of members.    It was a great time to present facts to replace the many rumors that often surround projects like ours.    Most if not all rumors come from those outside of any involvement with the project.    AEPI remains strong with the same goals we started and remain on our path to success.    (A few pictures of the meeting have been added to our gallery.)  

Frequently Asked Questions

• What does it mean to say AEPI is an "integrated facility"?
• A combination or integrated facility is a very important distinction from simply a stand-alone biodiesel refinery. An integrated facility controls both the availability and pricing for the soy oil flowing to its biodiesel refinery, and does not depend on an outside source for the soy oil. This facility, using solvent extraction, will process approximately 35 million bushels of soybeans annually into 780,000 tons of soybean meal and the soy oil. The soy oil will then be refined into 50 million gallons of ASTM D6751 biodiesel. 
• When will the 90% of the investment be due?
• During the equity drive, investors must pay both a membership fee and a down payment of 10% of their investment. They will also sign a promissory note for the remaining 90%. After the equity drive is completed successfully and the company is ready to move forward with construction, the call will be made for the 90%. We anticipate the timing of this call to be the Fall of 2007, perhaps October or November. . 
• Will our investment qualify for the Missouri Tax Credits?
• Yes. Click here for more details. 
• Why was the pool fee reduced to zero?
• The main purpose of a pool fee has always been to cover the administrative costs of operating the pool as a service to members. A secondary purpose or preception was that the pool fee encourages the physical delivery of soybeans by imposing a fee for non-delivery. The board has agreed that a fee is not needed for the administrative costs and in fact, without having to collect and record the fees, the adminstrative costs should acutally go down. Additionally, the board believes that we can encourage the delivery of soybeans through the established freight incentive program. 
• How does the "Soybean Swap Agreement" with Prairie Pride, Inc. work?
• Basically, the swap agreement allows members of both coops to deliver their committed bushels to the nearest facility. For example, if a PPI member lives in north central Missouri and it is too far from PPI's facility in Deerfield, MO to economically deliver soybeans, the PPI member can delivery his soybean commitment to the AEPI facility north of Carrollton, and PPI will give the member credit as if he had delivered to PPI. The reverse is true for an AEPI member living in southwest Missouri. He can deliver his AEPI commitment to the PPI facility west of Nevada and AEPI will give that member credit as if he had delivered to AEPI.
• Why does American Energy Producers, Inc. have an agreement with Ray-Carroll? How does it work?
• Soybeans will be the greatest need and the greatest expense in our project. American Energy Producers, Inc. chose north central Missouri for the plant site because of the availability of soybeans, but the board recognized that it would still be a challenge to source thirty-five million bushels. Our previous experience with senior lenders also exposed their concern for a plant's ability to source adequate feedstocks. Therefore, we negotiated a soybean procurement agreement with one of the area's largest grain handlers, Ray-Carroll County Grain Growers, Inc. For a per bushel fee, Ray-Carroll guarantees to have delivered to our facility all bushels that the plant will need, above what the members deliver. In addition, Ray-Carroll will provide risk management and scheduling services and will provide a full-time staff person at our plant.
• Where can I find more information about Missouri's loan guarantee program?
• Check out Missouri Department of Agriculture's web site at: http://www.mda.mo.gov/Financial/valaddloan.htm 
• What exactly will American Energy Producers, Inc. be doing?
• AEPI's goal is to build a soybean solvent extraction plant and a biodiesel refinery in north central Missouri.   We anticipate it will process up to 35 million bushels of soybeans each year and refine 50 million gallons of biodiesel.
• Who are the owners of AEPI?
• AEPI is organized as a new generation cooperative under the nonprofit cooperative association laws of Missouri (Section 274).  The goal of AEPI for the project is to be 100% owned by agricultural producers.
• What role will Prairie Pride, Inc. have in AEPI's ownership and operations?
• AEPI is an independent cooperative with its own board of directors.  It is expected that many of the members of AEPI will also be members of Prairie Pride and other cooperatives.  AEPI's board will be elected by AEPI's members and will operate the cooperative for the benefit of its members.  The resolve of the boards of both AEPI and PPI is to develop areas of cooperation that will be beneficial to both companies.  These may include shared spare parts inventory and shared soybean delivery system.
• Where will the new plant be located?
• The plant will be located in north central Missouri where there is an abundance of soybeans.  The site committee looked at potential sites in Carroll, Chariton, Saline, and Lafayette counties.  In addition to soybean availability, the site must offer good railroad and highway access, a potential for adequate water and natural gas, and strong local support.  American Energy Producers, Inc. announced November 9, 2006 that the location of their combination soybean crush and biodiesel refining facility is Carroll County.   After extensive research, American Energy Producers, Inc. determined that they wish to locate their state of the art facility approximately nine miles north of Carrollton at the intersection of Highway 65 and the Burlington Northern Santa Fe railroad.  The new 42 inch natural gas pipeline also passes through this site.
• What is biodiesel?
• Biodiesel is the name of a clean burning alternative fuel, produced from domestic, renewable resources. Biodiesel contains no petroleum, but it can be blended at any level with petroleum diesel to create a biodiesel blend. It can be used in compression-ignition (diesel) engines with little or no modifications. Biodiesel is simple to use, biodegradable, nontoxic, and essentially free of sulfur and aromatics. Biodiesel is made through a chemical process called transesterification whereby the glycerin is separated from the fat or vegetable oil. The process leaves behind two products -- methyl esters (the chemical name for biodiesel) and glycerin (a valuable byproduct usually sold to be used in soaps and other products).
• Where do AEPI investors live?
• View a map of investors by zipcode here. 

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