A COMPANY behind a revitalised refinery says improved production levels leave it well placed to become debt-free for the first time in its history.

CropEnergies says work at its Ensus bioenthanol plant, at Wilton, near Redcar, has provided fresh impetus to operations and complemented higher selling prices.

Bosses added progress at the factory, which was previously forced into production postponements, has helped push annual financial forecasts higher.

According to latest predictions, confirmed today (Monday, February 13), CropEnergies believes revenues will come in at around £688m for the 12 months to February 28.

The figure is higher than the £670m previously quoted and would also mark a rise on the £614m recorded a year ago.

They added operating profit should hit around £85m, which compares to previous top end estimates of £72m and the £74m confirmed last year.

Earnings before interest, tax, depreciation and amortization is tipped to come in at a record £115m.

Officials added while predictions for 2017/2018 stand at more normal levels, owing to a “volatile” pricing market, the latter will have “limited significance” on finances.

Germany’s CropEnergies runs Ensus as a UK subsidiary and the factory uses wheat to create bioethanol that is added to petrol, with remaining protein and grain used to make animal feed and carbon dioxide for the soft drinks and food market.

However, the site has endured a chequered past, with falling prices and oil’s plummeting value previously forcing bosses into job cuts.

Low demand, poor harvests, rising energy costs and even a bad smell have also forced postponements and hindered production since it started in 2010.