Nebraska ethanol plant owners, insurers sue gas provider over fire they say cost $1.8M

Nebraska ethanol plant fire produces lawsuit

OMAHA, Neb. — The owners of a Lexington ethanol plant and their insurer are suing a subsidiary of a Houston-based natural gas provider they say is responsible for an explosion and fire that shut down the plant for weeks.

Cornhusker Energy Lexington and its insurer say the plant lost more than $1.8 million after a pipeline carrying natural gas outside the plant ruptured last December. On Thursday, an attorney for Cornhusker Energy filed a federal lawsuit against pipeline operator Kinder Morgan Interstate Gas Transmission.

The lawsuit alleges the explosion was caused by a buildup of moisture in the gas provided by Kinder Morgan.

A Kinder Morgan spokesman said attorneys haven’t been served with the lawsuit, but based on what they know it, believe it to be without merit.