CORNWALL — Seaway Grain Processors is racing to get $10 million in time to convince the city of Cornwall to let them build a $65-million corn-fed ethanol plant. After 14 years of raising funds, acquiring permits and environmental assessments, and being stalled by government bureaucracy, Seaway has set its own final deadline of mid-March, in hopes of bringing good news to the Ottawa Valley Farm Show.

Seaway is very close to securing necessary new investment, said Seaway president Alain Leduc. But Seaway backers are also worn out and under tremendous pressure. The city of Cornwall decided recently to exercise a contract option and buy back the 23 acres for the plant because it has yet to be built. Meantime, Greenfield Ethanol, which hopes to build a plant near Prescott, is hoping to attract the same farmer investors before it goes ahead with its own project. "It’s too bad that groups in ethanol and big oil have been lobbying against us in Ottawa over the past number of years," Leduc said.

The recent in-camera decision by Cornwall city council to buy back the land has stunned and angered many of the 2,800 local and mostly farmer investors in the Seaway project. Leduc is incensed, calling this "dirty politics. It’s not right. They put the sword to us."

All permits to build a plant are tied to the 23 acres at the Cornwall industrial park. The park of about 1,500 acres has only about 200 acres in use, he said. The city acknowledges it has no plans for the land. Seaway has paid out at least $300,000 in property taxes, Leduc noted, adding why would Cornwall want to give up money for nothing.

Seaway will meet again with Cornwall city council on March 26 with plans of revealing that all funding is in place and they are ready to start building. "We’ve told them, ‘If we don’t have a deal by the end of March, then take the land,’" Leduc said.

Farmers Forum called all 10 Cornwall councillors and was able to speak to three of them and mayor Bob Kilger, none of whom were optimistic about meeting with Seaway and none expressed any enthusiasm in offering Seaway more time, even if Seaway showed it were ready to build.

Said councillor Guy Leger: "It’s been about 14 years since they’ve been at this project. They’ve been given about seven or eight extensions."

But what’s another few weeks if they can start building? Farmers Forum asked. You would be torpedoing the project. "Torpedoing it after 14 years? That’s your version, not mine." He declined to answer more questions.

Said councillor Denis Thibault: "The land was purchased 11 years ago from the city with the understanding that if the project did not get off the ground, the city would buy back the land at 90 per cent of the purchase price. The project is not getting off the ground and we’re going to give them back 100 per cent of the purchase price."

Thibault was not aware of the March 26 meeting but said: "We’re open to meeting with them. I think after 11 years of maybes, the ball is in the court of the Seaway group. We would entertain listening to their proposal."

Said city councillor Bernadette Clement: "I can’t say whether or not this is a done deal. But after 10 years this council wanted to move on."

Despite rumours, she said councillors were "absolutely" free in their decision to turn down Seaway and that there was no political interference from outside parties. "There was nothing unusual," she said. She has heard of speculation in news reports that another buyer is interested in the same property but that this is not true.

Said Cornwall Mayor Bob Kilger: "We have nothing but high hopes they can find another location. Regretably, the term ‘being close’ (to a deal) has been used repeatedly."

Seaway will not be limited to time constraints when they meet, he added.

Seaway board member and Russell crop farmer, John Hickling, said he has been given no reason for the pulling of the plug.

"I can’t see why they would do this six ways from Sunday. They need industry around here. Cornwall lost Domtar. Chesterville lost Nestle, Smiths Falls is now losing Hersheys. This boggles my mind. We’ve paid them $300,000 in taxes. If it sits vacant they won’t get any more money."

He added that if Seaway "doesn’t have (the last $10 million in financing) in time for the farm show then we’d fold it up. Everybody’s been asking us what is plan b. There is no plan b."