New management at IEO

Inland Empire Oilseeds, LLC (IEO), Odessa’s biodiesel plant that has been running with a skeleton crew of four to six employees since laying off about 20 members of its crew last June, has finally found an investor willing to put money into getting the plant back into full production mode.

As is so often the case when a new owner or majority shareholder comes on board, personnel changes have already begun. Steve Starr, general manager of IEO since late 2008 and an avid and vocal proponent of biodiesel fuels, has already been replaced by one of the principles of the company that is the new majority shareholder.

Starr told The Record that the abrupt move to replace him came as a complete surprise. There had been no prior indications that he would be let go, but he also added that no promises were made to keep any personnel in position. He said he had been through enough mergers, buyouts and other business transactions of that nature during his career in management that he accepted the fact that this is how business is conducted. New owners have the right to choose their management team, he said. Although he was disappointed that he would not be at the helm to see IEO succeed, he said he bears the new company no ill will, and he wishes them success. “I want this plant to be successful,” he said.

Starr said he will be looking for a new position, which he knows will almost certainly take him away from Odessa, just as he and his wife Candy were becoming comfortable with and more involved in community activities. He hopes to find something in executive management in the grain processing, food processing or biofuels field, but he is also well aware of the current economic climate and knows that the wait may be lengthy.

1138, LLC

The name of the new company is 1138, LLC, and it is based in Kent, Wash., Starr said. An IEO customer told 1138, LLC that IEO was looking for investors. So 1138, LLC contacted IEO and was one of three companies showing an interest in becoming shareholders. The other two companies were not yet ready to commit to any kind of partnership, however, so the offer made by 1138, LLC was accepted.

AgVenturesNW, the management company for the Odessa Union Warehouse Cooperative and Reardan Grain Growers, Inc., remains involved in IEO as a minority shareholder.