Jun. 3—TUSCOLA — Cronus Chemicals President and CEO Erzin Atac has reaffirmed the company's commitment to build a long-awaited nitrogen fertilizer plant just west of Tuscola.

"Our commitment and conviction to build this plant has never been stronger, and we expect to bring this project across the finish line within the next 12 months," Atac said in a May 22 letter to Urbana and Champaign Sanitary District Executive Director Rick Manner.

Next up for the sanitary district's governing board — which will meet Tuesday — is to accept Manner's recommendation to grant Cronus another one-year extension on a contract to supply wastewater — needed for use in the fertilizer-manufacturing process — to the future Cronus plant.

The contract, which has been extended several times, runs out July 1, and the company is asking that the sanitary district extend it again, to July 1, 2023.

Tuscola Chamber and Economic Development Director Brian Moody said the hope of getting the project "across the finish line" within 12 months may more likely mean getting it to the starting line with shovels in the ground.

"That's really their hope," he said.

Moody said he continues to be in touch with Cronus once a month, and "they continue to work in the background here."

"Basically, really not much has changed from last year except, annually, the sanitary district has to decide to stay in the agreement," he said.

Cronus first announced plans to build the plant in 2014.

In a June 1 memo, Manner recommended that the sanitary district board direct the staff to prepare a letter to Cronus expressing the district's desire to extend the contract commitment through at least July 2023.

"Cronus has not yet secured financing for the project," Manner wrote. "The financing is necessary to allow them to start their construction."

Manner said financing is also necessary before Cronus can provide the sanitary district a $10 million letter of credit that the district will need to receive before it begins design work and spends any serious money on the Cronus project.

The district would be spending millions of dollars on a large set of pumps that would pump wastewater 23 miles to the Cronus plant, he said.

"Diversifying your income makes sense, and getting paid for something as simple as putting water into a pipe is pretty good," Manner said. "Right now, we get paid nothing for it."

In his letter to Manner, Atac said Cronus continued to work on finalizing all aspects of the project during the first half of this year.

"Due to several developments outside our control, including the continuing effects of the pandemic as well as the invasion of Ukraine, our work has slowed down and we will not be able to meet the above mentioned deadline," he said of the July 1, 2022, deadline in Cronus' contract with the sanitary district.

"While unfortunate on many levels, these dynamics are also increasing the importance and necessity of building a nitrogen plant in Illinois," he said.

As the project has continued to be on hold, the estimated price tag has grown. The latest known estimate was $1.7 billion, and Moody said that's "at least" what it will cost.

"My guess it that number is going to go up," he said.

Tuscola is now waiting word on a draft permit for Cronus from the Illinois Environmental Protection Agency, which it will need in order to secure financing, Moody said.