Abstract: An integrated continuous process for the production of ethanol and a bio-gas containing methane is disclosed. The process comprises the following steps. First, grain is fermented in an aqueous medium to produce ethanol in the medium which contains a wet distillers' grain with solubles as a wet grain residue and carbon dioxide. Next, the wet grain is feed to livestock in a feedlot which has slatted floors. The wet grain residue constitutes 25-80% of a feed ration of the livestock on a dry weight basis. The feed ration consists essentially of the 25-80% wet grain residue and grain. Third, the manure from the livestock is collected from beneath the slatted floor. Fourth, the collected manure is digested anaerobically with microorganisms to produce the bio-gas containing methane and, as a residue, a bio-fertilizer. Fifth, the bio-gas is combusted to produce heat. Sixth, the grain is dry milled utilizing heat produced by the combustion.