SIOUX FALLS, S.D. (AP) - A South Dakota ethanol co-op is asking its shareholders to provide cash to meet its short-term obligations.

Glacial Lakes Corn Processors, owner of Glacial Lakes Energy, hopes to raise $11.3 million from its 4,200 co-op members to get through a cash flow crisis threatening operations at its plants in Watertown and Mina.

The Glacial Lakes board on Oct. 21 agreed to require shareholders to pay 6 cents per share on the 188 million shares of common stock the company has issued since it was founded in 2000. Officials will lay out the need for the money and the company's strategic plan to keep Glacial Lakes in the hands of co-op members at a meeting Nov. 8 in Watertown.

"We will encourage them to step up and recapitalize the company," Interim CEO Jim Seurer said.

"The common theme, the core message, is who would the investors want to control their assets - the bank group or the board of directors and management?" he said.

Seurer said the co-op got into a financial squeeze when corn prices spiked in summer and the price of ethanol fell.

"Our operating capital was slim at that point. We had requested working capital from our lenders. That request was denied in September," Seurer said.

Besides raising money from stockholders, Glacial Lakes is taking other steps to increase working capital. It sold a grain elevator in Madison, Minn., to Cargill.

Glacial Lakes' difficulties don't reflect the company's long-term ability to pay off debt on the two plants, Seurer said.

"There's no doubt it will be tight with the slim margins out there. But at this point, we aren't anticipating problems meeting those obligations," Seurer said.

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Information from: Argus Leader, http://www.argusleader.com