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Flint Hills Resources to Acquire Two Iowa Ethanol Plants

Flint Hills Resources to Acquire Two Iowa Ethanol Plants

August 17, 2010

Flint Hills Resources announced today plans to acquire the Hawkeye ethanol
plants in Menlo and Shell Rock, Iowa. On August, 16, 2010, Flint Hills Resources signed an
agreement for the purchase of the plants with The Royal Bank of Scotland plc.

The Menlo and Shell Rock ethanol plants opened in 2008. The plants each employ about 50 people
and each produces about 110 million gallons of ethanol annually.

“This is an exciting opportunity for our company,” said Brad Razook, president of Flint Hills
Resources. “These are high-quality, second-generation ethanol plants that are well-positioned to
serve major U.S. fuels markets.”

“Both Menlo and Shell Rock have highly valued, professional workforces, which was an important
aspect of our decision to acquire these facilities,” Razook said.

No purchase price was disclosed; the sale is expected to close in September.

Flint Hills Resources, a leading producer of transportation fuels in the Upper Midwest, already has a
significant presence in Iowa. The company distributes refined fuels throughout the state and owns a
fuel terminal in Bettendorf, Iowa. Flint Hills also operates asphalt plants in Algona, Davenport and
Dubuque.

In addition, Flint Hills Resources is an independent subsidiary of Koch Industries, Inc., which,
according to Forbes magazine, is one of the largest private companies in the world. The company,
through its subsidiaries, has several pipeline, manufacturing and fertilizer assets in Iowa.

Flint Hills is the largest purchaser of ethanol in Minnesota, where it has utilized ethanol and other
biofuels in its fuel distribution system since the mid-’90s. The company produces transportation
fuels such as gasoline, diesel, and jet fuel at its 320,000-barrel-per-day refinery outside of St. Paul,
Minn. Flint Hills also owns and operates refineries in Texas and Alaska.

“This acquisition enhances our base business and allows us to compete more completely in the fuels
market,” Razook said. “It puts us in position to create value for our customers in a segment of the
fuels market that is becoming increasingly important.”

Flint Hills Resources’ commitment to safety and environmentally responsible operations will extend
to the Menlo and Shell Rock plants. “As with all of our facilities, our top priorities for these plants
will be their safe and responsible operation,” Razook said.

Flint Hills will conduct a full evaluation of each plant’s operations, but the company does not
anticipate making any immediate changes.

Both plants were originally owned by Hawkeye Growth. The Royal Bank of Scotland is collateral
agent for the senior secured lenders to the owner of the plants. The Royal Bank of Scotland was
advised on this transaction by Carl Marks Advisory Group, LLC and, on legal matters, by Latham
& Watkins LLP.


About Flint Hills Resources
Flint Hills Resources, LP is a leading provider of transportation fuels used in the Upper Midwest.
Flint Hills Resources’ Pine Bend refinery in Rosemount, Minn., has a crude oil processing capacity
of about 320,000 barrels per day and employs about 900 people full-time. Flint Hills Resources,
which is based in Wichita, Kan., owns and operates refineries and chemical plants in Alaska,
Minnesota, Texas, Illinois and Michigan. The company also owns a system of refined products and
asphalt terminals that serve Texas and the Midwest. More information about the company is
available at www.fhr.com.