Posted on 06/15/2008 5:45:54 PM PDT by Fred
Large numbers of small to mid-size ethanol producers could shut down over the coming months after flooding across the US midwest caused irreparable damage to the years corn crop and pushed corn prices up sharply, says a report by Citigroup.
At least five small to mid-size ethanol plants had shut down in recent days, said David Driscoll, Citigroups US food manufacturing analyst, in an equity research report.
The widespread flooding, on a scale the region has seen only twice in the last 25 years, had forced down ethanol margins over the past 10 days, leaving small and mid-sized ethanol producers running at substantial losses against cash costs, Mr Driscoll said.
As a result of the rapid margin deterioration, we believe that many, if not all, of the small to mid-size producers will be forced to shut down over the next few months. This could result in as much as 2bn-5bn gallons of ethanol going off-line in the next few months, he said.
Mr Driscoll said corn now selling at more than $7 a bushel, compared with about $4 a year ago meant extreme tightness in the corn market, suggesting the increased potential for political intervention in ethanol markets.
The intervention would be aimed at cutting ethanol output and bringing corn to the food market. Corn prices have risen by $1 in the last 10 days.
Just the spectre of political intervention will likely cause the market to question the magnitude of future biofuel growth, adding further pressure on valuations across the ethanol industry, Mr Driscoll said.
This has led Citigroup to reduce its earnings-per-share estimates for ethanol companies and drop ratings to sell on those that are strictly into ethanol production, including VeraSun Energy and BioFuel Energy.
Notice the bill has the date of 2006. It had a two year delay before taking effect. We are there now.
Didn't the DBM media just tell us this was a once in a lifetime flood caused by Globul Warming?
I was speaking about E85 being more expensive than Regular Unleaded. All gas in Texas also has 10% ethanol. I was saying I can’t imagine why anyone would buy E85...
Yep, I’m using Startron as a preventive. Works well so far but waht a PIA for older fiberglass gas tanks this alcohol crap is.
http://mystarbrite.com/startron/
We get most of our imported oil from OPEC. Canada is the largest single supplier, but Saudi Arabia is second. Mexico production and exports have been falling for some time.
http://tonto.eia.doe.gov/dnav/pet/pet_move_impcus_a2_nus_epc0_im0_mbblpd_m.htm
Another thing I read also was that there was virtually no oil spillage during or after the storm out in the Gulf. That should put the lie to the greenies about the environmental hazards of drilling offshore.
You’re sorta right. I looked it up
Crude Oil Imports (Top 15 Countries)
CANADA
SAUDI ARABIA
MEXICO
NIGERIA
VENEZUELA
IRAQ
ANGOLA
ALGERIA
BRAZIL
KUWAIT
ECUADOR
COLOMBIA
CHAD
RUSSIA
LIBYA
9 of the 15 top importers belong to OPEC. They account for 60% of the oil imported into the US 2008 year to date for this list.
If you go to the link I provided from the same source (EIA) it lists all importers, not just the top 15. OPEC still supplies more, 57% of the total crude oil imported. But your list includes most of it.
That's an excellent point! The financial incentives for filing lawsuits are huge — especially for the lawyers in a class action.
You never know what to believe on these additive claims. This one, for example, from PRI (somewhat a Star Tron competitor) claims Star Tron is just mineral spirits. PRI has a good reputation but who knows.
http://www.priproducts.com/tests.htm
I hope this is true. I had been worrying about my 5 or 6 year old diesel.
Thanks L for that mail message.
EU protests U.S. aid for fuel producers
International Herald Tribune | June 13, 2008 | By James Kanter
Posted on 06/14/2008 7:09:58 PM PDT by DeaconBenjamin
http://www.freerepublic.com/focus/f-news/2031274/posts
The Bum Rap on Biofuels
American Thinker | 5-13-08 | Herbert Meyer
Posted on 05/14/2008 3:59:06 AM PDT by Renfield
http://www.freerepublic.com/focus/f-news/2015711/posts
Campaign to vilify ethanol revealed
ethanol producer Magazine | May 16, 2008 | By Kris Bevill
Posted on 05/17/2008 9:22:13 AM PDT by Kevin J waldroup
http://www.freerepublic.com/focus/f-news/2017389/posts
Senator assails solar industry-(Tax for Solar)
sign on sandiego | 6/14/08 | na
Posted on 06/15/2008 6:24:28 AM PDT by Flavius
http://www.freerepublic.com/focus/f-news/2031389/posts
Renewable Petroleum: Microbes Eat Waste and Excrete Crude Oil
DBKP | June 15, 2008 | Mondoreb
Posted on 06/15/2008 6:34:27 PM PDT by mondoreb
http://www.freerepublic.com/focus/news/2031618/posts
Oil hits record near $140 a barrel on dollar, fire
Yahoo / AP | 06/16/2008 | EagleUSA
Posted on 06/16/2008 8:00:37 AM PDT by EagleUSA
http://www.freerepublic.com/focus/f-news/2031775/posts
Coskata Inc
http://www.coskata.com/
Anaerobic Organisms Key to Coskatas Rapid Rise
Not many people were familiar with Coskata Inc. when General Motors Corp. announced its partnership with the Chicago-based ethanol technology company in January. Since then, Coskatas business has accelerated at a rapid pace, making thermochemical ethanol production from biomass a near-term reality.
By Jessica Sobolik
http://www.ethanolproducer.com/article.jsp?article_id=4268
A Column of Support
What started as a student research project at Augsburg College may become a major change in the biodiesel industry. A team of scientists and engineers have turned a tool for purifying and separating chemicals into a six-second process for turning the poorest quality vegetable oil into biodiesel. The first commercial-scale plant using the process should come on line this year.
By Jerry W. Kram
Augsburg College, tucked away in downtown Minneapolis, probably isnt the first institution that comes to mind in a discussion of cutting-edge scientific research. However, the school has a stellar reputation as a leading undergraduate educational institution. It counts among its alumni a Nobel Prize winner in chemistryPeter Agre, class of 1970, Nobel Laureate, 2003something many larger institutions cannot brag about. This level of excellence in the sciences has led to an innovation which may change the face of the biodiesel industry.
http://www.biodieselmagazine.com/article.jsp?article_id=2381
FOR MORE INFORMATION:
Please contact Dave Wendorf for more information regarding this exciting new technology. McNeff Research Consultants, LLC is the exclusive intellectual property licensing company for the Mcgyan biodiesel production process. Ever Cat Fuels, LLC is building a 3 million gallon per year demonstration plant incorporating the Mcgyan biodiesel production process. SarTec Corporation is the developer of the Mcgyan biodiesel production process.
http://www.mcgyan.com/
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