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TESTIMONY OF RFA PRESIDENT
BOB DINEEN BEFORE THE SENATE
Press release, April 26, 2006
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Since CME Group completed its acquisition of NYMEX Holdings, Inc. in August 2008, the Exchange has been actively integrating NYMEX business operations. We are pleased to announce that internal work has been completed and we will now provide a single Web site containing valuable information on all of our products and services. The timing for decommissioning www.nymex.com is early November 2009...more
As the U.S. ethanol industry continues to expand, the amount of corn used for ethanol production is increasing dramatically. Critics question whether corn growers can satisfy demand for both renewable fuels and traditional uses like livestock and poultry feed, food processing and exports, and the contrived food vs. fuel debate has reared its ugly head once again...more
September 22, 2009; Growth Energy request for action - Dear eTeam Member, We need your voice today! The United States Senate is debating legislation that is crucial to the future of ethanol, and Growth Energy needs you to take action today.
Please call or email your senator today, and ask them to support the Harkin-Thune amendment to prohibit the use of funds by Environmental Protection Agency to include Indirect Land Use Change emissions in the implementation of the Renewable Fuels Program...more
Renewable Fuels Association - The Environmental Protection Agency is taking comments from the public on the expanded Renewable Fuels Standard (RFS2) until September 25th. That means we’ve got a limited window of opportunity to urge the agency to address the way it’s stacked the deck against biofuels in the proposed rule. (To read more details regarding how, click here.) Take a moment now to send your thoughts to the EPA. To get started, click on the “Participate” button on the right.If you’d like instructions on using our tool please click here for our guide to speaking out on RFS 2
ExxonMobil (NYSE: XOM) announced today an alliance with leading biotech company, Synthetic Genomics Inc. (SGI), to research and develop next generation biofuels from photosynthetic algae. “This investment comes after several years of planning and study and is an important addition to ExxonMobil’s ongoing efforts to advance breakthrough technologies to help meet the world’s energy challenges,” said Dr. Emil Jacobs, vice president of research and development at ExxonMobil Research and Engineering Company. “Meeting the world’s growing energy demands will require a multitude of technologies and energy sources. We believe that biofuel produced by algae could be a meaningful part of the solution in the future if our efforts result in an economically viable, low net carbon emission transportation fuel.” ...more
Today at the Fuel Ethanol Workshop, Inbicon CEO Niels Henriksen introduced a new 20-million-gallon-a-year engineering model designed to demonstrate the Inbicon Biomass Refinery in North America. For the Danish bio-technology group, "this marks a major step along a practical pathway to cellulosic biomass conversion and commercial production of The New Ethanol," says Henriksen. Henriksen also announced working agreements with two U.S. grain-ethanol plants, Global Ethanol and another still undisclosed, to tailor Inbicon's 20 MMgy model to their individual operations. Global CEO Trevor Bourne says, "Working with Inbicon matches our culture of continuous improvement and helps us remain a top performer in the industry...more
Inbicon’s scale-up timetable is accelerating as we turn our biomass conversion technology into a commercial reality. We’ve recently completed our 110 ton/day engineering model for the Kalundborg, Denmark plant. And in just a few days, at the Fuel Ethanol Workshop in Denver, Colorado, Inbicon CEO Niels Henriksen will announce our 1320 ton/day demonstration model of the Inbicon Biomass Refinery, designed to produce 20 MMgy of The New Ethanol for North America...more
Aventine Renewable Energy Holdings, Inc. (NYSE: AVR), a
producer and marketer of clean renewable energy, today released results for its fourth quarter and
full-year ended December 31, 2008. The net loss for the quarter was $36.9 million, or $0.86 per
diluted share, as compared to net income of $3.3 million, or $0.08 per diluted share, in the fourth
quarter of 2007.
Included in the Q4’08 results was a pre-tax cash charge of $9.9 million for demobilization expenses
related to the suspension of our expansion projects, and pre-tax non-cash charges of $4.3 million
related to a loss on an investment in a marketing alliance partner, $1.6 million related to the
impairment of plant development costs and $6.7 million for the establishment of tax related
valuation allowances. Q4’08 was also negatively impacted by falling ethanol prices. The
economic impact of selling gallons held in inventory at the end of Q3’08 with a $2.08 per gallon
value as prices decreased significantly during Q4’08 was a negative impact to gross margins of
approximately $23.1 million...more
RINs, an environmental "currency" created by the EPA, may play a large role in increasing the use of renewable energy. In an effort to decrease consumption of oil in the United States, Congress tasked the Environmental Protection Agency (EPA) to "promulgate regulations to ensure that gasoline sold or introduced into commerce in the United States, on an annual average basis, contains the applicable volume of renewable fuel"...more
General Wesley Clark Named as Growth Energy Co-Chairman Growth Energy named distinguished four-star retired General Wesley Clark as the organization's co-chairman today, February 5, 2009 at a press conference held in Washington, D.C. General Clark will share his vision for green-collar job creation in an energy independent America...more
VeraSun Energy Corporation today announced that the Company filed a Bid Procedures and Sale Motion in the United States Bankruptcy Court for the District of Delaware seeking authority to sell substantially all of the assets of VeraSun Energy Corporation and 24 of its affiliates through a court-approved sale process. As part of the sales process, the Company has signed an agreement with Valero Energy Corporation to sell substantially all of its assets relating to the VeraSun production facilities in Aurora, South Dakota; Charles City, Fort Dodge, and Hartley, Iowa; and Welcome, Minnesota; and a development site in Reynolds, Indiana...more
Lallemand Ethanol Technology would like to announce the hiring of two new regional sales managers within our team. Carl Gandolfo - Eastern Regional Sales Manager, Carl comes to Lallemand Ethanol Technology with over 30 years sales experience both in the Automotive Aftermarket and the Security Industry. For the last 13 years, Carl has been the National Sales Manager for Code Blue Corporation and ICOP Digital, Inc.
Educated at St. Louis University and Tarkio College, Carl has a Bachelor of Arts in Criminal Justice Administration and spent 10 years as a St. Louis County police officer prior to entering sales.
Carl has three honorable discharges, two from the US Navy and one from the US Air Force and is a Vietnam era veteran. Craig Ammann - Western Regional Sales Manager, Craig comes to Lallemand Ethanol Technology with over 15 years of sales and marketing experience. He was most recently with a major biofuels project management and engineering company emphasizing the development of cellulose ethanol production and optimization of existing ethanol production facilities...more
Obama will Spark Biofuel Boom -
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The EPA has denied the RFS waiver request by Texas. The EPA determined that the weight of all of the evidence indicates that implementation of the RFS would have no significant impact in the relevant time frame (the 2008/2009 corn season), and the most likely result is that a waiver would have no impact on ethanol production volumes in the relevant time frame, and therefore no impact on corn, food, or fuel prices...more
Archer Daniels Midland Company (NYSE: ADM) will release financial results for its fourth quarter before the market opens on Tuesday, August 5, 2008...more
VeraSun Energy Corp. (NYSE: VSE),one of the nation’s largest ethanol producers, today announced it will release its second quarter results before market on Tuesday, August 12, 2008...more
Aventine Renewable Energy Holdings, Inc. (NYSE: AVR) announced that it plans to hold a earnings conference call on Friday, August 1, 2008 to discuss its second quarter and six month ended June 30, 2008 results...more
BBI Fuel Ethanol Workshop (FEW)
Photo Slide Show
Statement of Bob Dinneen on Launch
Anti-Biofuels GMA-Led Coalition - “It’s time for some truth in advertising from the world’s largest food processors. Instead of smearing American farmers and the only fuel that is backing out foreign oil, why aren’t GMA and its allies pointing to the skyrocketing price of oil as the main cause of increasing food prices and the main reason American’s have less to spend. “American biofuels are keeping billions of dollars here at home instead of adding to the coffers of OPEC and other foreign oil producers. Biofuels are helping to keep gasoline prices lower than they otherwise would be and are reinvigorating America's rural communities.
“The repeated claim that ethanol is responsible for food price increases continues to mislead and misdirect because the real factors driving up world food prices are skyrocketing oil prices, rising demand in China and elsewhere, droughts and adverse weather, wild commodity speculation, and the decline in the value of the dollar.”
Below is a backgrounder on the causes of rising food prices as seen from the point of view of economists, oil experts...more
The United States House passed the Food and Energy Security Act of 2007(H.R. 2419), commonly known as the Farm Bill, which is a $290 billion bill, with higher/increased subsidies for farmers and food stamps for the poor amid rising grocery prices while sprinkling in pet projects that lawmakers can take home to voters this election year. The 318-106 vote for the five-year bill gave supporters 28 more than they need to override a promised veto from President Bush. President Bush is on record stating that the bill is too expensive and generous to farmers, who are now enjoying record earnings. On Thursday, the United States Senate passed the bill as well, also with a veto proof margin of 81-15. The House passed the bill, 318-106, on Wednesday. To override a veto, each chamber must call a new vote and pass the bill by a two-thirds majority. The President has threatened to veto the measure, and he will get his chance as it is now on his desk but it appears that an override is eminent. President Bush feels that bill subsidizes multimillionaire farmers while Americans face higher food prices. The White House says the bill has $10 billion in hidden spending and rather than embrace reform, increases subsidy rates for wheat and soybeans...more
VeraSun Energy Corp. (NYSE: VSE) and US BioEnergy Corp. (NASDAQ: USBE) today announced they have entered into a definitive merger agreement, which has been unanimously approved by the board of directors of each company. The merger is expected to close during the first quarter of 2008, pending shareholder approval, anti-trust regulatory clearance and the completion of other customary conditions...more
Range Fuels will break ground on the nation’s first commercial cellulosic ethanol plant Tuesday, November 6, 2007...more
The Renewable Fuels Association (RFA) offers on October 4th its most sincere thanks and appreciation to Ron Miller, President and CEO of Aventine Renewable Holdings, Inc., for his service as chairman of the RFA.
Aventine is one of the oldest members of the RFA and Miller has held the position of chairman on three different occasions, most recently from 2005-2007. "There are few in today’s ethanol industry more committed to its success than Ron Miller,” said RFA President Bob Dinneen...more
POET announced three new general managers to the team. Mark Borer has joined POET as the General Manager for POET Biorefining - Leipsic, Dave Hudak has joined POET as General Manager for POET Biorefining - Alexandria and Dave Gloer has joined the company as General Manager for POET Biorefining - Caro...more
Outlining a plan to elevate Kentucky’s economy, Dr. Pearse Lyons, president and founder of Kentucky-based Alltech, will speak at various locations throughout the state as part of a tour to promote innovation in agriculture. The theme for the tour is 'Vision 2010: Fueling the Future of Rural Kentucky.'...more
PetroSun, Incorporated announced today that the Company has formed PetroSun BioFuels Refining to participate in a joint venture that will construct and operate a biofuels refinery in Arizona...more
ConocoPhillips and Archer Daniels Midland Company(ADM) announced that they have agreed to collaborate on the development of renewable transportation fuels from biomass. The alliance will research and seek to commercialize two components of a next-generation biofuel production process..more
Bunge Limited today announced that Tim Gallagher, Executive Vice President, Bunge North America and Todd Bastean, Vice President & General Manager, Bunge North America Biofuels, will address the Citigroup "Ethanol on the Cob II" biofuels conference in New York City on Tuesday, October 2, 2007...more
North American Bioproducts Corporation (NABC), provider of
fermentation products and technology to the ethanol industry, announces their third bi-annual Ethanol Short
Course. In a continuing effort to develop, educate and train both new and experienced industry colleagues,
NABC will hold the Ethanol Short Course on February 11th -15th, 2008 in Schaumburg, IL. The Renaissance
Hotel and Convention Center will host the five day event...more
Hawkeye Energy Holdings, LLC, one of the largest producers of ethanol in the U.S., is pleased to announce that Martin A. Lyons has joined Hawkeye as Chief Commercial Officer, effective today. Marty has most recently served as Senior Vice President in charge of Archer Daniel Midland’s ethanol, corn processing and sweeteners businesses. Marty has over twenty-eight years of sales, marketing, strategic planning, and regulatory management experience and helped pioneer the fuel ethanol additive business in the energy industry...more
President Bush Announces Resignation of Secretary of Agriculture Mike Johanns Rose Garden - 9:27 A.M. EDT. September 20, 2007 - THE PRESIDENT: Good morning. Mike Johanns has informed me that he plans to return home to Nebraska, which means that his service as Secretary of Agriculture must come to an end. Mike has been an outstanding member of my Cabinet. I knew he would be when I asked him to become the Secretary of Agriculture. I've known him for a long time. I've admired the fact that he is not only a decent person and an honest person, but he's a person who can get some things done...more
Corn production is forecast at a record 13.3 billion bushels, up 254 million from last month, because of higher yields. The forecast yield of 155.8 bushels per acre would be the second highest ever. Sorghum yields are also forecast at a record 73.9 bushels per acre. Sorghum production is forecast at 495 million bushels. Ethanol production forecast was lowered for both 2006/07 and in 2007/08, based on current capacity and reported production. Exports were raised this month to offset lower grains production in other parts of the world. Prices for feed grains remain strong, supported by record wheat and strong soybean prices...more Feed Outlook,
September 14, 2007
VeraSun Energy Corporation, one of the nation’s largest ethanol producers, today announced that Mark Dickey has joined the company as Vice President and Assistant General Counsel. All together, Dickey brings more than 20 years of legal experience, including 14 years in private practice...more
US BioEnergy Corporation (NASDAQ:USBE), a leading producer of ethanol in the United States, today announced that it has been selected by NASDAQ as one of 17 companies that will be featured in its new advertising campaign, “NASDAQ and the Companies that Move Life Forward,” that profiles NASDAQ-listed companies and how each of them improve the way we work and live every day...more
VeraSun Energy Corporation (NYSE: VSE), one of the nation’s largest ethanol producers, will hold a VE85™ pump tour promotion, Friday, Sept. 21, at the Freedom Valu Center on East College Drive in Marshall, Minn. VeraSun will sell its branded VE85™, a blend of 85 percent ethanol and 15 percent gasoline, for 85 cents per gallon beginning at 11:30 a.m. CDT. The station is located at 304 East College Drive...more
Today in Portland, Indiana, POET hosted a grand opening ceremony for their 21st ethanol production facility. With the additional 65 million gallons of production coming online, POET becomes the largest producer of ethanol in the world. Portland is the first POET plant in the state of Indiana, with two additional plants currently under construction...more
The USDA now forecasts the 2007 U.S. corn crop at 13.308 billion bushels, 254 million (1.9 percent) larger than the August forecast and 2.773 billion (26.3 percent) larger than the 2006 crop. The larger crop forecast reflects the expectation of a U.S. average yield of 155.8 bushels. That forecast is three bushels above the August forecast and 6.7 bushels above the 2006 average, but 4.6 bushels below the record yield of 2004...more
CME Group, the world's largest and most diverse exchange, today announced the listing of options on Ethanol futures, tools for customers to better manage risk in the energy industry, scheduled to begin trading electronically on e-cbot® October 5 and then on the CME Globex® platform in January...more
Lallemand is proud to announce the appointment of Bill Nankervis as its new General Manager of its Ethanol Technology business unit. Bill comes to Ethanol Technology from Lallemand’s Anchor Yeast subsidiary in South Africa where he was Director of their Bakery Specialties (bakers yeast and baking & milling enzymes) business...more
U.S. Sen. Dick Lugar spoke today at the opening of the POET ethanol plant in (Portland) Jay County and will address the opening tomorrow at the Central Indiana Ethanol Facility in (Marion) Grant County. “Biofuels offer the dual opportunity for an economic revitalization of rural America and a solution to a serious national security problem,” said Lugar, who has been a leading advocate for the use of biofuels to decrease our strategic dependence on foreign oil...more
The New York Mercantile Exchange, Inc.(NYMEX) today announced that it will launch its new alternative energy equity index futures contract on CME Globex and NYMEX ClearPort, beginning on September 30 for trade date October 1, 2007. This contract was previously scheduled to launch on August 20th, but was postponed...more
Archer Daniels Midland announced appointments in the Company's Commercial and Production group which is responsible for ADM's origination, merchandising, processing and marketing functions. John Rice, executive vice president, Commercial and Production, said, "These appointments advance our long-term and incremental business goals. I am confident that these individuals will provide leadership -- on both a personal and organizational level -- that will ensure ADM's continued success."...more
Directors from Florida International University’s (FIU) Energy and Business Forum along with senior engineers and public policy experts from General Motors (GM) will be at FIU on September 12, 2007 to announce the arrival of E85 ethanol in South Florida.
Currently E85 ethanol is not available in South Florida, Wednesday's announcement will disclose when and where E85 ethanol will be available for the first time in the area...more
08.06.07 - GOSHEN, Calififornia - Cilion, a new biofuels company, today announced the appointment of Mark L. Noetzel as its Chief Executive Officer and member of the Board of Directors. He was previously a Group Vice President of BP plc based in London. In 26 years with BP and Amoco, Mr. Noetzel has led multi-billion dollar businesses in the fuels and chemical industry in the US, Europe and Asia. In 2003, he was appointed Group Vice President with responsibility for BP’s $65 billion revenue retail operations and fuels transport and wholesaling in the US, Europe and Asia...more
08.05.07 - Upon receiving news of the passing of Jeff Fox, Vice President of Legal and Government Affairs for POET, POET issued the following statement from CEO Jeff Broin...more
NYMEX issues new margin spread credits for their RBOB contracts vs the new Ethanol contract. THe Ethanol contract started trading July 8, 2007. In short they will allow customers to save 80pct of the margin they normally post by clearing both contracts with NYMEX...more
08.07.07 - Midwest Grain Products Ingredients to announce fiscal Q4 2007 results on August 16, 2007. Interested persons may listen to the conference call via telephone by dialing...more
08.02.07 - Pacific Ethanol, Inc. will release its fiscal year 2007 second quarter results, August 8, 2007..more
08.02.07 - US BioEnergy to Announce Second Quarter Results...more
09.02.07 - The Anderson Reports Record Income, with EPS of $1.40 for Second Quarter. Grain & Ethanol and Plant Nutrient Businesses Lead Earnings Growth...more
08.02.07 - VeraSun Energy Corporation Reports Second Quarter 2007 Financial Results...more
08.02.07 - Aventine Posts Strong Q2 2007 Operating Results...more
08.02.07 - Archer Daniels Midland Reports Record Annual Results...more
08.02.07 - VeraSun Energy Corporation Reports Second Quarter 2007 Financial Results - VeraSun Energy Corporation (NYSE: VSE), one of the nation's largest ethanol producers, today announced its financial results for the three months ended June 30, 2007. Earnings were $15.1 million or $0.19 per diluted share. EBITDA was $33.0 million or 19.5 percent of revenues.
"VeraSun had a strong second quarter relative to first quarter of 2007, but down from the exceptional margin period of 2006," said Donald L. Endres, Chairman, Chief Executive Officer and President of VeraSun. "During the past quarter we started up our Charles City, Iowa facility, transitioned ethanol marketing in-house, and continued to operate our biorefineries above nameplate capacity. Ethanol prices remained steady for the quarter and corn prices began to moderate as we had expected.
"In our first quarter of managing the ethanol sales and distribution, we achieved solid performance and consistently shipped unit trains from all facilities with on-time deliveries and favorable railcar turn times," said Endres. "Our unit train strategy and customer service focus are being well received by our customers and these are points of positive differentiation for VeraSun."
The Company also announced plans last week to acquire three ethanol plants with a combined expected annual production capacity of 330 million gallons per year (MMGY) from ASAlliances Biofuels, LLC. The acquisition, which provides scale as well as geographic and operational diversity, is expected to close in 30-45 days and is subject to usual closing conditions. After the acquisition, VeraSun expects to have an annual production capacity of approximately one billion gallons by the end of 2008.
"We continue to focus on being an efficient, low-cost ethanol producer, while executing on our long-term strategy for growth," said Endres. "The ASAlliances transaction is a unique opportunity to acquire immediate production and revenue at a cost similar to that of building and gives us sister facilities that fit well into our current fleet and operations model."
Earlier this month, VeraSun worked in collaboration with General Motors to bring the first E85 fueling location to our nation's Capital and announced a strategic initiative with Enterprise Rent-A-Car to expand the use of E85.
Click here for addditional detail and financial information...more
07.17.07 - Bateman Litwin buys Delta-T, gains ethanol technology edge
Acquisition of U.S. technology designer positions Dutch company to take global leadership role in new-generation biorefinery production.
Amsterdam, The Netherlands, and Williamsburg, Virginia, USA, July 17, 2007 – Shuki Raz, Chief Executive Officer of Bateman Litwin, announced a definitive agreement under which his company will acquire privately held Delta-T Corporation, a leading US-based bioethanol technology provider, with a fast growing engineering, procurement and construction (“EPC”) division for a total consideration of US $45 million in cash and 11.8 million new ordinary shares in BatemanLitwin, subject to adjustment (the Acquisition). Completion of the Acquisition is condistional upon the Acquisition having been approved by the shareholers of Bateman Litwin at an Extraordianry General Meeting on August 21, 2007.
For over two decades, Delta-T has led the fuel ethanol industry with research-driven breakthroughs as well as continuous technological improvement. Rob Swain, who will become CEO of Delta-T, now Bateman Litwin’s largest business unit, explains that the Delta-T advances “have made ethanol production more practical and investment more profitable. Our biorefinery design producing fuel ethanol runs on much less energy, takes far less water, reduces total operating costs significantly, and uses a unique water recycling system resulting in zero process wastewater.”
Swain says that Bateman Litwin “brings the greater resources and expertise necessary to accelerate our technological lead in major fuel-ethanol markets around the world.” He stresses how the agreement “enhances the value we bring to customers by offering bankable, design-build solutions with a company that is world-class in delivering EPC projects on time and within budget.”
Swain adds that all commitments, contracts, deals, and alliances with customers, EPC partners, and business partners will remain intact. The merger will not change but enhance and supplement Delta-T’s existing business model and partnerships.
Bibb Swain, founder and chairman of Delta-T, will guide the consolidated technology group to accelerate the development and roll-out of new technologies. “The production of biofuels from biomass is not a passing fad,” he says. “It will be with us for as long as we live on this planet. Though we are rapidly approaching the end of the corn-to-ethanol boom, we are still working hard on new technologies to retrofit older, less-efficient plants to keep them competitive in the years ahead. We will be building new generation corn-based biorefineries many years into the future, but not at anything close to the pace we’ve seen recently. Ethanol from biomass is just around the corner, and that will open an exciting new era in biofuels. We’ve only scratched the surface of the possibilities that lay ahead.”
According to Shuki Raz, “The vision of Delta-T will now be ours: Delta-T ethanol plants will be self-energy producers, meaning they will need no outside energy for processing from grain to ethanol. Our systems and skills on the EPC side, which built Bateman Litwin the past 30 years, will add efficiencies to the jobs at hand as well as offer Delta-T technology to more projects worldwide. We plan to be the first to introduce an economically feasible and socially responsible biomass-to-ethanol production plant to the world. This is our future in about five years.”
Roy Franklin, Chairman of Bateman Litwin, observes that “bringing together these two companies benefits not just our shareholders but also the industry at large. Our resources, combined with Delta-T’s talent, will rapidly reduce the environmental footprint required to produce fuel ethanol. That means a cleaner renewable fuel for everyone.”
Bateman Litwin is listed on the Alternate Investment Market (AIM) of the London Stock Exchange under the symbol: BNLN.L.
- The Acquisition accelerates several key areas of Bateman Litwin’s strategy:
- combines the Group’s EPC and process engineering skills with one of the leading proprietary technologies in bioethanol production
- enhances Bateman Litwin’s growing presence in environmental related technology and renewable energy markets
- typical contract size of US$120-250 million plays to Bateman Litwin’s strengths
- Delta-T’s backlog, as of 30 June 2007, amounted to c.US$500 million providing a substantial addition to Bateman Litwin’s existing backlog
- Provides immediate, sizeable entry into the over US$10 billion US ethanol market up to 2013 (new plants)
- Creates a substantial platform for bioethanol market expansion into Europe, the Far East, CIS, and Australia
- Expected to enhance earnings per share in the first full financial year of ownership
About Bateman Litwin N.V.
Bateman Litwin N.V. is a mid-sized Energy EPC (engineering procurement and construction) contractor and a proprietary technology provider in the Renewable Energy and the Phosphate and Solvent Extraction dependent industries. It is increasingly furthering its reputation by combining its world class EPC skills with its leading technology expertise. To find out more visit Bateman Litwin at: www.bateman-litwin.com
Delta-T is a technology provider and constructor of biofuel processing plants. Delta-T was founded in 1984 by Mr. Bibb Swain, the current CEO. Headquartered in Williamsburg, Virginia, USA and it currently employs over 200 people. The company has pioneered ethanol development from an original focus on fuel ethanol to biofuels, refined alcohols and biorefinery advancements. With technology as its core EPT competency, Delta-T’s business model has been extended to deliver technology products through EPC design and build partnerships.
Delta-T has established a well-defined business model and has a dominant presence in the rapidly growing US and Canadian ethanol. Delta-T’s international focus is primarily on emerging fuel ethanol markets in China, India, Africa, CSI, and Australia. They recently launched Delta-T -Europe where they bundled resources from project development to build greener bio-businesses across Europe in record time.
Delta-T is known for its breakthrough as a designer of high-tech biorefineries producing ultra-pure and ultra-dry alcohols and the world’s most environmentally-friendly ethanol plant without sacrificing profitability to the owner. Every Delta-T biorefinery producing fuel ethanol built has the reputation of never releasing any process wastewater–a design feat unmatched in the industry. Current operating Delta-T plants consume about 2.8 gallons of fresh water per gallon of undenatured ethanol produced and its co-products which is 30-40% less than competing technologies. Delta-T’s latest technology lowers this number to below 1.5 gallons in corn–fed plants. Outside energy use per gallon has also been cut a third–while producing a higher-quality and higher-protein livestock feed back into the world’s food supply.
For more information, please contact: Thomas Corle, Communications Director in US at 717 626-0557 or email: firstname.lastname@example.org
07.10.07 - NYMEX issues new margin spread credits for their RBOB contracts vs the new Ethanol contract. THe Ethanol contract started trading July 8, 2007. In short they will allow customers to save 80pct of the margin they normally post by clearing both contracts with NYMEX...more
07.10.07 - VeraSun Energy Corporation (NYSE: VSE), one of the nation’s largest ethanol producers, today announced the opening of the first E85 retail fueling location in Washington, D.C. The opening was the result of an ongoing collaborative effort between VeraSun and General Motors to expand the availability and consumer awareness of E85.
VeraSun’s branded VE85™, a blend of 85 percent ethanol and 15 percent gasoline is now available at the Georgetown Chevron, located at 2450 Wisconsin Ave. N.W., and in Arlington, Va., at the Navy Exchange station near the Pentagon. The addition of two retail fueling locations increases the number of stations selling VE85™ to more than 90 in nine states and the District of Columbia.
“This partnership exemplifies the efforts being made to improve the availability of E85 in our nation,” said Don Endres, VeraSun’s Chairman and CEO. “E85 has been available throughout the Midwest for years, and many of us have used it almost exclusively to fuel our vehicles. We are pleased to have worked collaboratively with our partners to bring VE85™ to the D.C. metro area so that drivers in our nation’s capital may experience this clean, high-octane product which strengthens our energy independence and helps our environment by reducing both greenhouse gas and tailpipe emissions.”
Today’s announcement marks the fifth collaboration VeraSun and GM have entered with a third-party retailer since the companies began working together to expand availability and increase the awareness of VE85™. The first initiative, launched in May 2005 with pilot stations in Sioux Falls, S.D., has expanded to include locations in Chicago, Minneapolis-St. Paul, and Pittsburgh.
“At GM, we believe that renewable fuels like E85 give us the greatest near-term potential to actually reduce gasoline consumption and vehicle emissions,” said Elizabeth Lowery, GM vice president of environment, energy and safety policy. "That's why GM is committed to working with our partners at VeraSun Energy to increase the availability of VE85™ to consumers."
Enterprise Rent-A-Car joined VeraSun and GM on this initiative by announcing that it is designating its premier rental location in Washington, D.C., as an official “E85/FlexFuel branch.” Owning the world’s largest fleet of FlexFuel Vehicles, with more than 41,000 cars and trucks, Enterprise is committing to fueling 50 GM FlexFuel vehicles from its location at 1029 Vermont Ave. N.W., at the Georgetown Chevron. The vehicles will also be stocked with materials about VE85™ and directions to the fueling location.
“It’s a privilege for us to work with VeraSun Energy to make it easier for our customers to make sustainable choices,” said Matthew G. Darrah, Enterprise Rent-A-Car senior vice president of North American operations. “We hope the commitment we’ve made today sends a strong signal that, as alternative fuels like VE85™ become commercially viable, we’ll not only be first in line to use them, we will encourage our customers to use them, as well.”
“An important part of the energy bill the Senate just passed is a title that promotes the production, distribution and use of clean, renewable, made-in-America transportation fuels, like E85,” said Sen. Jeff Bingaman, chairman of the Senate Energy Committee. “For our nation to become more energy self-reliant, we have to start using transportation fuels other than imported oil. I appreciate VeraSun’s initiative in opening the first E85 retail fueling station in our nation’s capital, and I hope this venture will pave the way for greater use of biofuels throughout the Mid-Atlantic.”
Owned by Mid-Atlantic Petroleum Properties, the Georgetown Chevron location marks a significant accomplishment for the fuel retailer in offering E85 at the first of its 23 company- operated locations in the Washington, D.C. metro area. On Friday, June 29, the Georgetown Chevron location will sell E85 for 185 minutes to FlexFuel vehicle owners for 85 cents per gallon. The promotion will last from 11 a.m. to 2:05 p.m. E.D.T.
“Mid-Atlantic is proud to be the first retail chain in Washington D.C. to offer its customers E85 and, in particular, VeraSun’s branded E85, VE85™”, said Carlos Horcasitas, Chairman and CEO of Mid-Atlantic. “This is a very important step in educating our customers on the benefits of E85 and offering them the choice of a renewable, home-grown product that promotes a cleaner environment.”
Representatives from the District, the U.S. Department of Energy, and the U.S. Department of Agriculture were also on hand to make the announcement.
VeraSun is committed to developing markets for renewable fuels and helping consumers realize a future that includes renewable energy. Consumers interested in learning more about VE85™, and where to find VE85™ stations, can visit www.VE85.com
07.06.07 - KAG Ethanol Logistics today announced that it has joined efforts with LB Transport and Iowa Northern Railway Company, entering into an investment alliance with Manly Terminal, LLC, of Manly, Iowa, to streamline the nation's already constrained ethanol marketing and distribution process. Through this alliance, KAG Ethanol Logistics has strategically partnered with truck, rail and storage stakeholders to seamlessly bring ethanol from production point to final destination. Manly Terminal (www.manlyterminal.com), a first of its kind facility, will feature over 20 million gallons of liquid storage capacity on a unique 100-acre reload facility that is strategically located within the largest growth area of ethanol production in North America.
Dennis Nash, President and Chief Executive Officer of Kenan Advantage Group stated, "By bringing all of the key players of the ethanol transportation industry together, we are able to provide a truly unique service to ethanol customers throughout the country. Our ability to package these services and manage the delivery process from beginning to end, will allow us to help solve many of the challenges facing this growing and exciting industry. At KAG, we have always taken great pride in being in the forefront of innovation and technology. This alliance with Manly Terminal, LLC puts us dead center in the ethanol logistics arena - and that's exactly where we want to be."
As part of the Manly alliance, locally operated, LB Transport will join with KAG to provide the trucking arm that delivers ethanol from the production facilities to the Manly Terminal. Once the product has been brought to the terminal, it will be distributed across the country through rail interline agreements secured by the Iowa Northern Railway Company. Iowa Northern's line is adjacent to the Manly Terminal and connects with the entire North American rail network. Iowa Northern is offering direct tariff access to all major rail carriers. With multiple rail connections, the Manly Terminal can leverage the various combinations of freight routes to insure that ethanol customers are getting the lowest possible rate, to the best possible markets.
Unlike petroleum products such as oil and natural gas, ethanol cannot be distributed through pipelines due to its chemical makeup and attraction to water. As a result, ethanol moves from production to market by utilizing truck, rail and barge transportation services along with transload/storage facilities. The key to effectively manage the logistics of the ethanol industry is to coordinate this unique movement of product.
KAG Ethanol Logistics along with its partners in the Manly Terminal LLC have combined the synergies of multiple transportation services to enhance this infrastructure. As a starting point, the development or a common origin ethanol storage point began on October 27, 2006 with the ground breaking of a truck and rail transload, storage and trading terminal located in north-central Iowa.
"Today there are over twenty-five ethanol plants in operation or under construction with over two billion gallons of production that are less than one hundred miles from Manly, Iowa," stated Lee Kiewiet, President of Manly Terminal, LLC. "It is estimated that more than half of all ethanol production in the U.S. will be located within 300 miles of the Manly Terminal by end of 2009, making this location the ideal common origin point for the country's ethanol marketing and distribution," continued Mr. Kiewiet. Manly Terminal also provides sufficient storage that allows ethanol producers and marketers to consolidate volumes to capitalize on price fluctuations, and to trade and arbitrage ethanol, all contributing to improved margins. Other benefits will include rail car trip leasing, unit train economics and faster turn time on deployed rail assets.
"Visualize Manly Terminal as the ‘hub' from which ‘spokes' will run in every direction to supply the country's long-term ethanol needs," said Daniel Sabin, President of Iowa Northern Railway Company. "Our rail system of ‘unit trains', consisting of 65 or more tank cars, is a faster, more efficient and economical way to ship ethanol than utilizing a few tank cars at a time, continued Mr. Sabin. We want to remove every possible obstacle to fluid transportation of ethanol and related products."
The federal government has mandated that by 2012, 7.5 billion gallons of ethanol must be blended with gasoline. The passage of the Energy Policy Act of 2005 and the continued commitment to ethanol by the Bush Administration and Congress are resulting in an unprecedented period of growth for the U.S. ethanol industry. With that growth come unique challenges such as the ability to quickly build the infrastructure needed to effectively and efficiently bring the product to market.
Finally, the overall logistics from ethanol production point to the final marketplace will be coordinated and managed by KAG Ethanol Logistics. The concept will provide the simplicity of a single invoice from producer to consumption point. By combining the various services of the partner companies, KAG Ethanol Logistics can provide the most cost effective, door-to-door delivery solution to the ethanol industry. KAG Ethanol Logistics is a division of KAG Logistics, a subsidiary of Kenan Advantage Group, Inc.
KAG Logistics (www.kaglogistics.com) is the nation's first, fully-automated, end-to-end logistics services committed to the petroleum and related industries. The company focuses on optimal execution in the distribution supply chain for its customers. It utilizes latest technologies managed by highly trained personnel, fleet resources and advanced processes to provide premier value-added services.
07.05.07 - Brazilain Ethanol
Prices are 35 percent lower than in 2006
Between June 25th and 29th, the CEPEA/ESALQ Index for anhydrous ethanol (Sao Paulo state) averaged 0.66221 real or 0.34138 dollar per liter (excluding taxes), dropping 1.04 percent in Real over the previous week. For the hydrated, the decrease was of 0.6 percent in Real, averaging 0.57646 real or 0.29717 dollar per liter (excluding taxes). These values are around 35 percent lower (in Real) than those practiced in the same period of last year (in nominal terms) - of 1.2705 real per liter for the hydrated and of 0.87685 real per liter for the anhydrous.
The pressure keeps coming from the higher supply, as the 2007/08 crop moves on. At the end of June, few trades were settled, since most part of distributors were enough supplied. Mills, in turn, were not willing to trade, focused on accomplishing export contracts.
In June, the Index for anhydrous dropped 23.6 percent against May, averaging 0.67507 real or 0.34977 dollar per liter (excluding taxes) in the period. For the hydrated, the Index decreased 14.9 percent in the same period, at 0.58786 real or 0.30459 dollar per liter (excluding taxes).
According to the Unica (Sao Paulo Sugar Cane Agroindustry Union), until the beginning of June, the ethanol production totaled 2.968 billion liters in the Center-Southern region, an increase of 9.35 percent over the same period of the last crop.
07.02.07 - Beginning on Sunday evening, July 8 (for trade date Monday, July 9, 2007), the NYMEX will list two new cash-settled ethanol swap contracts on NYMEX ClearPort®...more
05.31.07 - ST. PAUL, Minnesota and MARION, South Dakota (May 31, 2007) - US BioEnergy Corporation (NASDAQ: USBE), one of the largest producers of ethanol in the United States, and Millennium Ethanol, LLC today announced that US BioEnergy has agreed to acquire Millennium. Millennium is currently constructing a plant near Marion, South Dakota and is expected to begin production in the first quarter of 2008. The plant is expected to produce approximately 100 million gallons of ethanol per year (mgy) and 320,000 tons of dried distillers grains annually. With this acquisition, US BioEnergy will have 8 plants in 6 states with expected total production of 700 mgy by the end of 2008.
Gordon Ommen, CEO of US BioEnergy Corporation, stated, “We are very proud to have the opportunity to partner with Millennium Ethanol, Fremar Farmers Cooperative and its members and to carry forward their vision and hard work through the completion and operation of the Marion plant. Millennium is the fifth plant we have added to the US Bio family through acquisition and we are humbled by the confidence they have shown in our company. It is partnerships such as these that are the backbone of US Bio. We are also excited about having Millennium’s approximately 900 shareholders, many of whom are farmers, become shareholders of US Bio. This fits well with our existing shareholder base, including CHS and their 325,000 farmer owners....full story
05.10.07 - St. Paul, MN--US BioEnergy Corporation, a leading ethanol producer in the United States, announced May 12 that its Ord, NE ethanol plant has begun production.
The company broke ground on the 50 million gallon per year (mmgy) ethanol plant in December 2005 and completed construction ahead of the normal 20-month schedule.
US Bio Ord, located in central Nebraska and adjacent to the Nebraska Central Railroad, is expected to produce approximately 50 million gallons of ethanol and 275,000 tons of modified wet distillers grains per year from the 15 to 18 million bushels of corn provided by local farmers.
The plant has created approximately 40 new jobs in the city of Ord.
Gordon Ommen, CEO of US BioEnergy, stated, “The opening of our fourth ethanol plant demonstrates the quality and effectiveness of the US BioEnergy team, which continues to execute our strategy ahead of schedule.
"We remain focused on building and acquiring ethanol plants in the Midwest. By doing so, we believe we will deliver on our goals of revitalizing Midwestern communities, promoting energy independence, and delivering value to our shareholders."
“We are thrilled to have the Ord plant up and running, and proud to have US BioEnergy as a community member. This plant is a key part of our community, providing employment, and economic opportunity to its residents,” said Gaylord Boilesen, chairman of the US Bio Ord local board.
US Bio Ord is the third plant that US BioEnergy has brought on line since September, and the fourth that the company currently operates.
For more information, call 651-355-8340
Excerpt From February 20, 2007 Newsletter - Renewable Fuels Association(RFA) President Bob Dinneen addressed over 2000 attendees at the RFA National Ethanol Conference annual meeting at the Marriott Starr Pass in Tucson, Arizona. In his State of the Industry Address, Bob addressed an enthusiastic crowd. Several key excerpts are listed below
“My friends, from this podium one year ago, I stood before you and proudly proclaimed, ethanol has arrived. I may never have been more right. 2006 was a seminal year in the ethanol industry’s history, notable as much for the growth in public awareness as for the phenomenal growth in production. In April, for the first time ever, a president of the United States addressed a gathering of the Renewable Fuels Association and noted “renewable energy is one of the great stories of recent years, and it is going to be a bigger story in years to come.”
In May, the RFA was invited to open the trading day at NASDAQ, reflecting the growing recognition on Wall Street that ethanol and biodiesel represent growth markets for the future. By June, ethanol had successfully replaced MTBE in virtually every gallon of reformulated gasoline where it was still being used. In October, for the first time, a president and 3 cabinet secretaries gathered on the same stage to promote a vision for renewable fuels few could have imagined even a year ago. At that same event, the president of the American Petroleum Institute reflected upon the oil industry's newfound appreciation for ethanol’s octane and gasoline blending quality, and noted refiners could now see a day when ethanol was blended in every gallon of gasoline sold in the country. In November, the 3 major U.S.automakers met with the president of the United States and pledged to increase their FFV production to 50% of their vehicle sales by 2012.
Before the end of the year, ethanol blended gasoline accounted for 46% of the nation’s motor fuel, with sales literally from coast to coast and border to border. Throughout 2006, 15 new ethanol biorefineries opened, construction began on no fewer than 50 new biorefineries, and the industry set new alltime records for ethanol production, sales and capacity.
The U.S.ethanol industry produced an astounding 4.9 billion gallons, sold more than 5.5 billion gallons, and with new biorefineries opened and expansions completed, closed the year with more than 5.4 billion gallons of capacity. But we’re not done yet. As I stand here today, there are 78 plants under construction–steel in the ground, dirt being moved welders welding. These plants will add another 6 billion gallons of capacity within 18 months – 3 billion gallons this year! As the industry grows, it is expanding beyond the traditional grain belt, with plants currently under construction in Washington, Texas, New York and right here in Arizona.
And as the industry has grown, so too has the industry’s footprint on the economy. In 2006, the ethanol industry: Increased gross output by $41 billion; Supported the creation of 163,000 jobs, including 20,000 in the manufacturing sector; Put an additional $6.7 billion into the pockets of American consumers; and, Added $2.7 billion in new tax revenue for the federal government and $2.2 billion for state and local treasuries.
From such numbers, it is clear the nation’s investment in domestic renewable energy is paying off. Indeed, as 2007 dawns upon us, the U.S. ethanol industry can now envision a whole new horizon, one filled with promise, but also daunting in its scope. The president’s 20 in 10 proposal, unveiled during this year’s State of the Union Speech, suggests as much as 35 billion gallons of alternative fuel will be needed to displace 20% of our nation’s petroleum consumption by 2017. The Governors’ Ethanol Coalition is promoting an initiative requiring 60 billion gallons of ethanol by 2030. Senator Dick Lugar has introduced legislation mandating 100 billion gallons of ethanol by 2030. And countless other initiatives have been discussed or introduced, each built upon the premise that this nation’s energy, economic and national security demands significantly greater production of domestic renewable fuels.”
The full text of the speech is available on the Press Release page on www.ethanolmarket.com
05.01.07 - Aventine Renewable Energy Holdings, Inc. (NYSE: AVR), a
leading producer, marketer and end-to-end provider of clean renewable energy, today announced
that its net income for the first quarter of 2007 increased more than 22% over the same period a
year ago. Ron Miller, Aventine’s President and Chief Executive Officer said, “We are pleased that we were
able to achieve both increased earnings and improved operating performance in a difficult and
volatile commodity environment. Net income increased 22% year over year. Ethanol production
in the quarter was a record 48.9 million gallons, up from 35.3 million gallons in Q4’06 and 36.7
million gallons in Q1’06. As a result of the increase in production from our new Pekin dry mill,
our own equity production became a greater proportion of the total ethanol gallons sourced,
which helped improve gross margins. More normal operations and the increase in production
capacity resulted in conversion costs declining to $0.55 per gallon in the quarter from $0.65 in
Q4’06. Our corn costs during Q1’07 averaged $3.58 per bushel, significantly higher than our
Q4’06 cost of $2.90 per bushel, but well below the Chicago Board of Trade (“CBOT”) average of
$4.03 per bushel in the first quarter of 2007. Also, we successfully issued $300 million in fixed-rate, unsecured notes, as well as established a new $200 million secured revolving credit facility.
These financings were completed on favorable terms. With the proceeds from the note offering,
cash on hand and cash generated from operations, we can comfortably complete the first 226
million gallons of our expansion plans.”
For full press release...click here
03.23.07 - Ethanol Supply rises 11 percent and demand, 47.5 percent
The 2006/07 Brazilian sugarcane crop, which has already finished, brings new figures to the market in terms of supply, demand and prices, especially in the Sao Paulo state.
More mills offered the product. According to the Unica (Sugar Cane Industry Union), the volume of cane processed enlarged 10.1 percent in the Center- Southerner region. It was processed 371 million tons, producing 25.8 million tons of sugar and 15.9 billion liter of ethanol. The increase of sugar supply was of 17 percent and of ethanol, 11.2 percent over the previous crop.
Regarding the domestic demand, the hydrated ethanol sells increased expressively in 2006. According to the National Petroleum Agency (ANP), in December, distributors traded 45.7 percent more ethanol in the Sao Paulo state in relation to Dec/05.
Ethanol prices, even with short variations during the crop (from April/06 to February/07), were higher than those practiced on the previous crop. For the hydrated, in Sao Paulo state, the average was of 0.83428 real per liter (excluding taxes) until February, value 0.62 percent superior to the previous crop. For anhydrous, the price is 3.5 percent higher, at 0.93538 real per liter (excluding taxes).
These numbers confirm the positive outlook of the sugarcane market during the last crop, bringing news expectancies to the beginning of the next process (the 2007/08 crop), scheduled to the end of this month in some mills.
Last week, the CEPEA/ESALQ Index of anhydrous upped 0.99 percent, averaging 0.84568 real or 0.39591 dollar per liter (excluding taxes). The hydrated valuated 0.84 percent, to 0.81791 real or 0.38344 dollar per liter (excluding taxes). Source - CEPEA/ESALQ.
02.28.07 - The price trend is definitely up, as the United States national ethanol rack price average increased again last week, for the fourth week in a row, moving up 4.72 cpg on the way up from 215.16 to 219.19 cpg. The average for the day last Friday was nearly 3.0 cpg higher than the weekly average, coming in at 222.79 cpg, indicating further play in the market. The Ethanol Market National Reference Rack in Des Moines, Iowa, rebounded as well, after plummeting 27.0 cpg in late January and early February. The Des Moines ethanol rack average increased 6.55 cpg, on the way up from 209.25 to 215.88 cpg. As with the National average, the rack average last Friday in Des Moines was slightly higher than the weekly average, coming in at 217.91 cpg, which is nearly 2.0 cpg higher than the weekly average. Out of 82 reporting racks, only 2 reported decreases last week. Marshall and Mankato Minnesota led the way with increases of over 14 cpg.
The Chicago Board of Trade (CBOT) fuel ethanol February contract continued to firm last week, closing at 220 cpg yesterday. The CBOT charts for open interest, monthly volume, average daily volume and deliveries have been updated, and are on page seven (7). The Chicago spot market traded in the same band late last week, trading up in the mid to upper 210’s late last week. New York Harbor prices crept up into the low to mid 230 cpg range, pushed by corn prices, pulled by demand and supported by surprisingly strong gasoline prices. NYMEX RBOB is in contango, with the near month closing at 177 cpg yesterday, and the following six months all closing in the low to upper 180 cpg range. With CBOT fuel ethanol at 220, the spread to NYMEX RBOB is currently 43 cpg. Spot New York Harbor RBOB moved up all of last week, closing just over 178 cpg last Friday, and topping 180 cpg yesterday. 180 cpg RBOB, plus the 51 cpg blend incentive, equals 231, which is within the current trading range for fuel ethanol in New York Harbor. West Coast prompt moved up slightly, trading in the low to mid 230 cpg range.
American Commercial Barge Lines has opened traffic to the Illinois River, and they, and other barge companies, now have barges on the way up to Peoria. Temperatures are rising, as well as the river level, which will help break up the ice. Although, a rising river will slow traffic down a bit. As traffic gets back to normal, fuel ethanol conditions in Houston should improve. Due to logistical displacement, spot fuel ethanol in Houston traded in the mid to upper 240 cpg range late last week, as buyers scrambled for truck and railcar supply.
Brazilian anhydrous prices dropped over 2.0% last week, trading in the 151 to 152 cpg range. With duty and freight, landed costs into New York are in the 225 to 230 cpg range. The math is quite tight with the combination of the Brazilian FOB Santos price, and the New York Harbor spot prices. We have added two new charts this week, one with a short term view of FOB Santos anhydrous prices, and another chart with a longer term view going back to 2000.
For a full weekly review of fuel ethanol market, please subscribe to the Ethanol Market Weekly News and Market Report, the Premier ethanol industry Newsletter, Web News and Consulting Source.
02.07.07 - Gordon Ommen (center), CEO and Chairman of US BioEnergy (USBE) rang the NASDAQ remote closing bell along with Bruce Aust (far right), Executive Vice President of NASDAQ to celebrate the Grand Opening of the Albert City, IA Ethanol Facility, which began operations in November 2006 and the Company's recent initial public offering on the NASDAQ Stock Market. Pictures below, and more details on Press Release page.
01.23.07 - President Bush Will Asked Congress And America's Scientists, Farmers, Industry Leaders, And Entrepreneurs To Join Him In Pursuing The Goal Of Reducing U.S. Gasoline Usage By 20 Percent In The Next Ten Years – Twenty In Ten.
For too long, our Nation has been dependent on oil. America's dependence leaves us more vulnerable to hostile regimes, and to terrorists – who could cause huge disruptions of oil shipments, raise the price of oil, and do great harm to our economy.
America Will Reach The President's Twenty In Ten Goal By:
- Increasing The Supply Of Renewable And Alternative Fuels By Setting A Mandatory Fuels Standard To Require 35 Billion Gallons Of Renewable And Alternative Fuels In 2017 – Nearly Five Times The 2012 Target Now In Law. In 2017, this will displace 15 percent of projected annual gasoline use.
Reforming And Modernizing Corporate Average Fuel Economy (CAFE) Standards For Cars And Extending The Current Light Truck Rule.
In 2017, this will reduce projected annual gasoline use by up to 8.5 billion gallons, a further 5 percent reduction that, in combination with increasing the supply of renewable and alternative fuels, will bring the total reduction in projected annual gasoline use to 20 percent.
Click Here for Full Details
01.22.07 - GreenField Ethanol Inc., Canada’s leading ethanol producer, and SunOpta Inc today announced a new joint venture to develop a commercial-scale plant that will produce ethanol from wood chips.
The plant is slated to produce 40 million litres of cellulosic ethanol per year, making it the first operating commercial cellulose ethanol plant in the world using wood chips.
“This partnership combines decades of GreenField’s experience in developing world-class ethanol plants and SunOpta’s experience in developing cellulose pre-treatment technologies,” said Bob Gallant, President and CEO of GreenField Ethanol. “This new joint venture creates unparalleled experience in developing cellulose technology.”
GreenField Ethanol and SunOpta are actively involved in selecting a site for the plant in Ontario or Quebec.
GreenField Ethanol and SunOpta’s BioProcess Group will own the new joint venture 50/50.
SunOpta BioProcess Group is a leader in the design, construction and optimization of biomass conversion equipment and facilities. With more than 30 years of experience in delivering biomass solutions worldwide, the BioProcess Group combines its application expertise with innovative technologies to produce cellulosic ethanol, cellulosic butanol, xylitol, and dietary fiber for human consumption; and is currently supplying equipment and technology to three cellulosic ethanol projects in the U.S., Spain, and China.
GreenField Ethanol, formerly Commercial Alcohols, is Canada’s leading ethanol producer. The company produces 215-million litres a year of corn-based ethanol at its plants in Chatham and Tiverton, Ontario. A third facility in Varennes, Quebec is slated to open in February 2007 and two more plants are under construction in Hensall and Johnstown, Ontario, and will be operational in 2008. GreenField Ethanol will be one of the top producers in North America with five operating plants, producing more than 700-million litres of ethanol per year by 2008.
GreenField’s fuel is available at more than 1,500 gas stations across Canada.
1/18/2007 - Archer Daniels Midland Company will release financial results for its second quarter before the markets open on Thursday, February 1, 2007. The Company will host a conference call and audio Web cast at 8 a.m. Central Standard Time (CST) on Thursday, February 1, 2007 to discuss financial results and provide a Company update. In addition, a financial summary slide presentation will be available to download approximately 60 minutes prior to the start of the call.
To listen to the call and download the slide presentation via the Internet go to: http://www.admworld.com/webcast/. To listen by phone, dial 800-237-9752 or 617-847-8706; the access code is 98914486.
Digital replay of the call will be available beginning on February 1, 2007 from 10 a.m. CST through February 8, 2007. To access this replay, dial 888-286-8010 or 617-801-6888 and enter access code: 89861968.
01.17.07 - The Medicine Valley Economic Development Corporation is excited to announce that it has teamed with Wolverine Ethanol, LLC of Troy, Michigan to build an ethanol plant near Moorefield, NE in Frontier County. The facility will be called Hi-Line Ethanol, a name that has historic significance for the area. Medicine Valley obtained options on some property for the purpose of building a renewable fuels production facility and worked with the Nebraska Public Power District to get the site “ethanol ready.”
“This is an exciting development opportunity for Frontier County,” said Curtis Heapy, President of the Medicine Valley Economic Development Corporation. “Medicine Valley has worked very closely with NPPD and the Nebraska Department of Economic Development to position Frontier County to attract value-added industries. At the same time, we set our standards very high. Our Board wanted a company that had a vision and plan for long-term sustainability, a proven track record, and a desire to work with local companies. We feel very strongly that Wolverine Ethanol exceeds those standards, and we are very excited that they will be part of Hi-Line Ethanol. The positive economic impact to the area will be significant and widespread,” he said.
The site near Moorefield, NE consists of nearly 200 acres on Highway 23 approximately 10 miles west of Curtis, NE. “We are excited about the opportunity to be part of Hi-Line Ethanol,” said Tom Randazzo, CEO of Wolverine Ethanol. “The Frontier County location has all of the features and benefits that we believe are important for the successful operation of Hi-Line Ethanol,” he said. Wolverine is also developing the Alcorn Energy facility near Holdrege, NE in Phelps County.
An air permit application for the construction of the 100 million gallon per year, dry mill plant, to be filed with the Nebraska Department of Environmental Quality, will be the first order of business for Hi-Line Ethanol. It is projected that the plant will consume over 35 million bushels of corn per year. Investment of nearly $200 million is anticipated and, when operational, the plant will have 35 to 45 employees.
Construction of the plant can start when an air permit is issued by the NDEQ. The NDEQ review process is expected to take 4 to 6 months to complete. The plant is expected to be operational 16 to 20 months after construction begins.
01.15.07 - US BioEnergy Corporation (Nasdaq:USBE) announced today that its Albert City and Central City ethanol plants began operations in late November and have transitioned to commercial production. With these plants in commercial production, US BioEnergy is the largest pure-play ethanol producer in the United States. US Bio Albert City is a new facility located near Albert City, Iowa and US Bio Platte Valley is a newly expanded facility in Central City, Nebraska. Each facility is expected to produce approximately 100 million gallons of ethanol per year, 320,000 tons of distillers grains per year and employ about 45 people. “This is an important milestone for our company and to the revitalization of the American heartland,” said Gordon Ommen, CEO and chairman. “It’s the spirit and dedication of the American farmer that’s making this possible.”
01.12.07 – US BioEnergy Corporation (Nasdaq:USBE), the largest pure-play ethanol producer in the United States, announced today it began site preparation work near Janesville, Minnesota. “We are excited to become a part of the community as we begin dirt work on the site,” said Dan Seckora, project manager. “It’s a great feeling to be part of a project that will bring benefits to the local community, as well as the nation.” The facility is expected to produce approximately 100 million gallons of ethanol per year, 320,000 tons of distillers grains per year and employ about 45 people. Historically, the construction cycle for its ethanol plants has been about 20 months. Fagen, Inc. will provide design, engineering and construction services for the project.“This is further evidence of our ability to execute our growth strategy and our industry leadership position,” said Gordon Ommen, CEO and chairman. “We believe in the power of the American farmer and the economic revitalization ethanol production is bringing to the Midwest.”
01.10.07 - The United States national ethanol rack price average decreased last week, moving down slightly from 245.01 to 243.66 cpg. The average for the day last Friday was fractionally lower than last weeks average, coming in at 242.46 cpg. The Ethanol Market National Reference rack in Des Moines, Iowa, was more active than the national average, dropping 6.67 cpg, on the way down from 252.18 cpg down to 245.49 cpg. The rack average last Friday in Des Moines was lower than the weekly average, coming in at 241.20 cpg.
The Chicago Board of Trade (CBOT) ethanol February contract fell off two weeks ago, moving down from 236.3 cpg to 229.5 cpg, which was down approximately 7 cpg week to week. The trend continued into this week, with the contract falling off most of last week, and then closing today, down 8 cpg, to 216.9 cpg for the February futures contract. March dropped down to 205 cpg and April fell under 200.0 to 197.5 cpg. With spot gasoline down in the 145 cpg range, something had to give. Blending economics has been a problem the past month, and has pushed some discretionary gallons out of the marketplace. The February NYMEX crude oil contract traded in the mid $56 range today, before closing down again, at $56.09 per barrel, which kept the NYMEX gasoline contract in place at 146.96 cpg.
As the rack markets indicated, spot prices eased a bit last week, especially in Chicago, pulled down by a combination of unfavorable blending economics, declining gasoline markets, and the arbitrage window slightly open with imports impacting New York. Chicago supplies more discretionary markets than both coasts, and many of these blenders have backed out of the market, which in turn will eventually impact the sell side of the equation. Chicago traded in the low to upper 240’s cpg, but there is indication, as with all markets, that forward deals will have to close the gap to encourage the discretionary gallons back into the marketplace. Although, the West Coast prices remained steady, trading in the upper 250’s cpg range. New York Harbor material was somewhat steady for very prompt material, in the mid to upper 250’s cpg range.
The industrial ethanol market 15 cpg January 1, 2007, price increase remains solid. The demand in this segment is quite strong, especially for this time of the year. Additionally, inventory levels remain tight and most producers/marketers are operating with less than historical inventory levels, even “uncomfortable” levels.
The new congress did not take long to address the biofuels industry and energy security in the United States. United States Senators Tom Harkin (Democrat-Iowa) and Richard Lugar (Republican-Indiana) introduced the Biofuels Security Act of 2007 last week. Both Senators have been long time proponents of energy independence and biofuel expansion. The bill sets new benchmarks for the Renewable Fuels Standard (RFS), reaching 30 billion gallons per year by 2020 and 60 billion gallons per year by 2030. Also, the bill would require that all United States automobiles be flexible fuel vehicles (FFV’s) by 2017. FFV’s in the United States are capable of running on gasoline or any blend of anhydrous ethanol up to 85 percent, which is E85. Additionally, the bill would require that oil companies will have to offer E85 at 50% of their gas stations by 2017. Key ethanol industry groups support the proposed legislation, including the American Coalition for Ethanol (ACE) and the Renewable Fuels Association (RFA). On the other side of the fence, the National Refiners Petroleum Association (NPRA) opposes the legislation.
01.09.07 - Minneapolis, MN -– New Cargill subsidiary Emerald Renewable Energy LLC Jan. 9 announced plans to develop four 100 million-gallon-per-year ethanol plants in the Midwestern United States. The newly formed company is considering several potential sites in the Cornbelt.
Emerald Renewable Energy is a privately held, limited liability company formed by Cargill to develop and invest in renewable energy projects in the United States.
Cargill will provide the initial development capital for the projects.
Emerald Renewable Energy will contract with Cargill for services to support the facilities, including corn supply, natural gas, price risk management and the marketing of ethanol and distillers grains.
"Emerald Renewable Energy will have access to Cargill's world-class expertise in trading, sourcing corn, plant construction and operations, risk management and bulk commodity transportation,” noted Scott Portnoy, Cargill corporate vice president with responsibility for its biofuels and bioproducts businesses.
Emerald Renewable Energy has reached agreement with a globally recognized EPC contractor to design and construct their facilities.
This contractor has initiated engineering and permitting efforts and will participate with Cargill in the design and construction of all four plants.
To finance the debt capital for the construction of the plants, Emerald has nominated BNP Paribas as lead arranger and Santander Investment and Standard Chartered as senior co-lead arrangers.
Each plant will use nearly 40 million bushels of corn annually and produce 100 million gallons of ethanol and over 300,000 tons of dry distillers grains for animal feed each year.
The plant sites being considered include greenfield locations as well as co-locations with Cargill grain elevators and other utility infrastructure providers.
The plants are expected to create about 40 jobs per location.
01.05.07 - Lexington, Kentucky - Ethanol Market reports that the United States fuel ethanol market production totaled 10,308,000 barrels in October 2006, and the ending stocks for October totaled 9,814,000 barrels.
Ethanol Market Managing Director, Jeff DeReamer said "The United States fuel ethanol industry met the very real and difficult logistical challenges in 2006, and is prepared to support Energy Security and existing/new Renewable Fuels Standards (RFS) legislation in 2007, and beyond. The 2006 statistics confirm that the industry has paved a solid path forward and is firmly committed to reducing the United States dependence on imported crude oil and gasoline."
Additionally, Mr. DeReamer stated "The new congress has already displayed an strong conviction for the expansion of exisiting Energy Security legislation, and introduced several new bills on the first day of the new Congress. However, the industry, and Washington, both need to temper the Food for Fuel debate with an even more aggressive cellulosic research and development, and competitive commercial application of the technology to support future biofuels expansion in the United States."
On a gallon basis, the October 2006 United States fuel ethanol production totaled 432.936 million gallons, with a production average for the month of 13.986 million gallons per day. The October monthly production total is a new record for the United States fuel ethanol industry, and the daily production average of 13.986 million gallons ties the previous record, which was established in September 2006. The October 2006 monthly production total of 432.936 million gallons is 82.866 (24%) higher than the October 2005 production total of 350.070 million gallons. Also, the October 2006 daily production average of 13.986 million gallons is 2.688 (24%) million gallons higher than the October 2005 daily production average of 11.298 million gallons per day.
The October 2006 United States fuel ethanol production total of 432.936 million gallons annualizes at 5.195 billion gallons. Ethanol Market estimates the actual production total for 2006 will be approximately 4.903 billion gallons.
The October 2006 United States fuel ethanol ending stocks totaled 412.188 million gallons, which is 3.654 million gallons higher than the September 2006 total of 408.534 million gallons, and 188.580 million gallons higher than the September 2005 ending stocks total of 223.608 million gallons. The October 2006 ending stocks represents approximately one month of demand. The significantly higher stocks compared to one year ago is directly related to the higher production and increased fuel ethanol demand in the United States.
There are currently 109 ethanol biorefineries operating in the United States, with a combined annual capacity of over 5.2 billion gallons per year. There are over 70 new refineries underway, and at least 7 expansions, with an aggregate capacity of over 5.8 billion gallons of annual capacity.
For additional information, please visit Ethanol Market www.ethanolmarket.com and subscribe to the Ethanol Market Web News, Newsletter and Consulting Services. Ethanol Market is a unique industry news source, newsletter and consulting business. We are a private independent consulting firm offering unbiased, clear, concise and accurate market information covering Fuel Ethanol, Industrial Ethanol, Beverage Ethanol, Corn/Grains, MTBE, Gasoline/Motor Fuels, Natural Gas and National/State Legislative News.
01.06.07 - Washington, DC -– The Renewable Fuels Association (RFA) Dec. 29 announced that domestic October ethanol production tied the all-time high set in September 2006 by producing 333,000 barrels per day (b/d), according to data released by the Energy Information Administration (EIA).
The U.S. ethanol industry was averaging 310,000 b/d of production through October, an annualized volume of 4.75 billion gallons.
Industry estimates show ethanol production reaching 4.9 billion gallons for the year, an increase of more than 25 percent from 2005.
“The U.S. ethanol industry is rising to the challenge of helping set America on the path of growing energy independence,” said RFA President Bob Dinneen.
“The rapid growth in ethanol demand seen in 2006 was mirrored by our industry’s commitment to increasing ethanol production. The result has been one of the most dynamic and fast-growing energy sectors anywhere in the world."
Demand for ethanol has also soared in 2006. October demand was 391,000 b/d, up from 278,000 b/d in 2005.
For the year, demand has averaged 339,000 b/d or more than 4.3 billion gallons. Total demand for 2006 will greatly exceed 5 billion gallons, more than one billion gallons over the requirement of the Renewable Fuels Standard (RFS).
Currently, 110 grain ethanol biorefineries have the capacity to produce more than 5.3 billion gallons of ethanol ethanol.
An additional 79 construction projects are underway that will add nearly 6 billion gallons of new ethanol production capacity.
For more information, call Matt Hartwig, RFA, at 202-289-3835.
01.05.07 - SAN RAMON, Calif. – Oct. 10, 2006 – Chevron Energy Solutions (CES), a Chevron Corporation (NYSE: CVX) subsidiary that develops energy efficiency and alternative energy projects, announced today that it will conduct preliminary work to prepare a proposal for the development of highly efficient ethanol production plants for Ethanex Energy, Inc. (OTCBB: EHNX), a renewable energy company engaged in low-cost ethanol production.
Under an agreement with Ethanex, CES will perform engineering, geotechnical studies, site and civil design work in order to prepare a detailed proposal for developing and building ethanol plants that use advanced technology to maximize the plants’ efficiency. The proposal will include details necessary for CES to negotiate contracts to engineer, procure and construct for Ethanex at least three biofuel plants by 2008. The plants, to be located in Missouri, Illinois and Kansas, will each produce about 132 million gallons of fuel-grade ethanol annually.
Ethanol, or ethyl alcohol, is a renewable biofuel produced from the starch and sugar in agricultural crops, primarily domestically-produced corn. Currently, the total production capacity of ethanol facilities in the United States is about 5 billion gallons per year.
moving ahead with this work, CES has determined that its experience in planning, project managing and constructing energy-efficient facilities is well-suited for building energy-efficient ethanol plants. In addition, this work is consistent with Chevron’s support of biofuels development in its efforts to help expand and diversify the world’s energy supply.
Chevron is investing across the energy spectrum to develop energy sources for future generations by expanding the capabilities of today’s alternative and renewable energy technologies. Since 2000, Chevron Corporation, through its various subsidiaries, has spent more than $1.5 billion on renewable energy projects and on delivering energy efficiency solutions. Focus areas include geothermal, hydrogen, biofuels and advanced batteries as well as wind and solar technologies. Chevron is the largest renewable energy producer among global oil and gas companies, producing 1,152 megawatts of renewable energy primarily from geothermal operations.
About Chevron Energy Solutions
Chevron Energy Solutions partners with institutions and businesses to improve facilities, increase efficiency, reduce energy consumption and costs, and ensure reliable, high-quality energy for critical operations. Chevron employs proven technologies to meet customers’ specific needs, including infrastructure technologies, energy controls, solar photovoltaics, fuel cells, biomass and other systems. For more information about Chevron Energy Solutions, please visit www.chevronenergy.com.
Chevron is one of the world’s leading energy companies. With more than 53,000 employees, Chevron subsidiaries conduct business in approximately 180 countries around the world, producing and transporting crude oil and natural gas, and refining, marketing, and distributing fuels and other energy products. Chevron is based in San Ramon, Calif. More information about Chevron is available at www.chevron.com. About Ethanex Energy
Ethanex Energy, Inc. is a renewable energy company whose mission is to become the ethanol industry’s low-cost producer. The company expects to achieve this industry position through the application of next-generation feedstock technologies and use of alternative energy sources. Ethanex Energy is concentrating its geographic focus in areas that allow access to abundant supplies of corn, alternative energy sources, transportation infrastructure and the potential for expedited permitting. Ethanex Energy’s acquisition and brownfield development strategies afford it rapid capacity development with significant operating cost advantages. For more information about Ethanex Energy, please visit www.ethanexenergy.com.
12.28.06- CHICAGO, IL, December 29, 2006 – The Chicago Board of Trade (CBOT®), today announced the following schedule, in accordance with the National Day of Mourning in honor of former President Gerald R. Ford on January 2, 2007. All times listed refer to Central Standard Time.
Trading in Agricultural products on e-cbot® will open as normal with the 6:30 pm rotation on Monday, January 1, 2007, and will cease at the normal time of 6:00 am. Thereafter, trading in Agricultural products on e-cbot will be closed.
Trading in Agricultural products in open auction will be closed.
Interest Rate Products
Trading in Interest Rate products on e-cbot will open as normal with the 6:00 pm rotation on Monday, January 1, 2007 and will close early at 12:15 pm.
Trading in open auction will open at its normal 7:20 am and will close early at 12:00 noon.
Equity Index and Metals Products
Trading in Equity products and Metals products on e-cbot will open as normal with the 6:15 pm rotation on Monday, January 1, 2007. All trading in Equity products and Metals products will close early at 8:15 am.
Trading in open auction will be closed.
Dow Jones AIG Index Products
Trading in Dow Jones AIG Index products on e-cbot will be closed.
Interest Rate product prices will settle at noon on Tuesday, January 2, 2007. All other contract prices will be marked to their respective settlements for December 29, 2006. Tuesday, January 2, 2007 will be a regular delivery day for all products.
Regular CBOT trading hours will resume for Wednesday, January 3, 2007.
12.12.06 - US BioEnergy Corporation is scheduled to initiate its IPO this Thursday. Timing is the talk on the street, as invstors are skittish with all of the expansion coming on line in 2007 and 2008. Also, investors remember when Aventine dropped 10% on its opening day, and also the Hawkeye Holdings' recent withdrawal from its IPO. US BioEnergy is trying to raise about $150 million with an offering of 9.4 million shares at a price of $15-$17 per share. The company intends to use the proceeds of the IPO to fund construction cost and expansion plans. Subscribe to the Ethanol Market Weekly News and Market Report for full details.
12.07.06 - Brazilian Key Executives in the Ethanol Industry, compiled by DATAGRO, a leading ethanol conusultancy firm in Brazil
Luis Carlos de Correa Carvalho (first name sometimes spelled “Luiz”) - former president of UNICA, the powerful association of sugarcane businesses of the state of Sao Paulo and, later, chairman of the Brazilian Industry Chamber of Sugar and Ethanol, part of Brazil’s Ministry of Agriculture.
João Carlos de Figueiredo Ferraz – Currently with SCA (Sociedade Corretora de Alcool), a trading company founded in 2000.
Eduardo Carvalho – President of UNICA, Sao Paulo state.
Renato Cunha - President of the Sugar and Ethanol Business Union of the State of Pernambuco, SINDACUCAR.
Cezar de Aguiar – Former President of the Brazilian Association of Automotive Engineering
Marcelo Guerra – Director of the Sugar and Ethanol Business of the State of Pernambuco, SINDACUCAR.
Plinio Mario Nastari – One of Brazil’s leading consultants in the ethanol and sugar business. President of Datagro and Plinio Nastari Consulting.
Rubens Ometto S. Mello – President of the COSAN Group.
Jorge Ribeiro Toledo Filho – President of the Cooperative of Sugar and Ethanol Producers of the state of Alagoas.
Felix Schouchana – Executive Director of Agricultural and Energy Derivatives of the Brazilian Mercantile and Futures Exchange (BM&F).
Elisabete Torres Serodio – Consultant to the Brazilian government in the sugar and ethanol business. Also head of the Datagro branch in Brasilia.
Eduardo Tavares de Melo, President of the Tavares de Melo Group.
11.29.06 - Delta-T reorganizes to meet world biofuels demands. Technology design leader names Rob Swain president, taps Robert and Fatigati as new tech division heads
As demand for Delta-T technology design continues to skyrocket, the Williamsburg, Virginia firm said today that it is not only expanding its workforce but also reorganizing its management to streamline administrative and technical operations.
Bibb Swain, founder and head of Delta-T for over two decades, announced that “Rob Swain will assume the office of president effective immediately and be responsible for running the day-to-day operations of our company. He’s been performing many of these tasks behind the scenes for several years; in addition, he was the primary architect of our EPC business model and many of the strong alliances that have contributed to our unprecedented growth.” The new president, who has worked in various roles with the company since the mid-1980s, received his MBA from the Darden School at the University of Virginia.
Bibb Swain will remain chairman and CEO, focusing on technical innovation and engineering refinement. “I’ve always known that my most valuable contribution to Delta-T is in the technical arena,” he said. “I love devising ways to defeat the laws of thermodynamics, discovering how to produce ethanol more efficiently, and designing the new products that will drive Delta-T’s future.”
To accelerate the research and facilitate the development of new technology, Delta-T has split the responsibilities between vice presidents Jeff Robert and Mike Fatigati. “Mike will head the technology innovation team,” Bibb Swain said, “while Robert and his group are responsible for plant startups, field technical/operations support, and assisting with late stage technology development and pilot testing to take new technology concepts to commercial stage.”
“Each of these moves are steps in our company’s continuing journey,” Swain said, “with the goal of becoming the number one biofuels technology company in the world.”
Headquartered in Williamsburg, VA, Delta-T is a design-build firm that provides technology, plants, systems, and services to the fuel, beverage, industrial, and pharmaceutical alcohol markets. Delta-T has provided alcohol production, dehydration, and purification solutions to more than 115 clients worldwide on five continents.
To learn more about Delta-T and ethanol plant design, go to www.deltatcorp.com Delta-T Corporation is located at 323 Alexander Lee Parkway, Williamsburg, VA 23185, USA. Telephone (757) 220-2955
11.21.06 - Shell and Codexis to Explore Next-Generation Bio-fuels
Focus remains on bio-fuels that lower CO2. Houston, TX and Redwood City, CA
Shell Oil Products US, a subsidiary of Shell Oil Company, and Codexis Inc., a privately held biotechnology company, announced today they would launch a collaboration to explore enhanced methods of converting biomass to bio-fuels. Terms of the agreement were not disclosed. “Shell is committed to leading the development of second-generation bio-fuels that offer lower well-to-wheel CO2 production and enhanced performance,” David Sexton, President, Shell Oil Products US, said. “We are exploring the application of Codexis’ proprietary technologies to produce alternative fuels from renewable, sustainable sources.”
“Our proven biocatalytic approach should provide the critical pathway to developing economically feasible alternative transportation fuels from renewable resources,” Alan Shaw, Ph.D., Codexis President and Chief Executive Officer, said. “We are pleased to be partnering with Shell, a world leader in energy, to undertake this important effort.”
Shell has been involved in developing bio-fuels for more than 30 years, and believes it is the world’s largest distributor of transport bio-fuels today. The company sold nearly 800 million gallons (3 billion liters) of bio-fuel in 2005, mostly in the United States and Brazil. Shell also markets fuels containing bio-components in Australia, France, Germany, Italy, the Philippines, Sweden and Thailand. Shell Oil Products US, a subsidiary of Shell Oil Company, is a leader in the refining, transportation and marketing of fuels, and has a network of approximately 6,000 branded gasoline stations in the Western United States.
Shell Oil Company, including its consolidated companies and its share in equity companies, is one of America's leading oil and natural gas producers, natural gas marketers, gasoline marketers and petrochemical manufacturers. Shell, a leading oil and gas producer in the deepwater Gulf of Mexico, is a recognized pioneer in oil and gas exploration and production technology. Shell Oil Company is an affiliate of the Shell Group, a global group of energy and petrochemical companies, employing approximately 109,000 people and operating in more than 140 countries and territories.
Codexis is the leading developer of biocatalytic chemical technologies that dramatically reduce the cost of manufacturing across a broad range of industries. Codexis' proprietary directed evolution technologies enable novel solutions for efficient, cost-effective and environmentally friendly processes for pharmaceutical, industrial chemical and energy applications. Codexis has entered into strategic alliances with many of the world’s leading companies in the chemical process industry, and the company's technology is being applied to the development of more than 20 products worldwide. In 2006, Codexis was recognized by the U.S. Environmental Protection Agency with a Presidential Green Chemistry Challenge Award for developing an environmentally friendly, low-cost alternative manufacturing process. Codexis, Inc. began operations in 2002. Codexis is a registered trademark of Codexis, Inc. For more information, please visit www.codexis.com.
11.08.06 - Dallas, TX and Oceanside, CA -- Panda Ethanol, Inc. Nov. 7 announced that stockholders of Cirracor, Inc. (BULLETIN BOARD: CIRC) have approved, and the companies have completed, the merger of Panda Ethanol with and into Cirracor.
The surviving company will be called Panda Ethanol, Inc. and its common stock will continue to be available for quotation on the Over-The-Counter Bulletin Board. "This merger is an important milestone in the history of our company," said Todd Carter, chief executive officer and president of Panda Ethanol.
"We are excited about the opportunities it gives us to continue to implement our growth strategy. We are also excited because the implementation of this strategy will enable Panda Ethanol to enhance further our nation's energy independence."
Reed Fisher, former chairman, president and secretary of Cirracor, said, "We are very pleased that we were able to consummate this merger with Panda Ethanol.""We believe that the merger will provide Cirracor's stockholders with an opportunity to participate in a company with growth potential in the ethanol industry."
In connection with the merger, the prior stockholders of Panda Ethanol were issued 28,800,000 shares of Cirracor common stock. The combined company now has 30,000,000 shares outstanding.
For more information, call Bill Pentak, Panda Ethanol, at 972-361-1200.
11.07.06 -CBOT to Launch OTC Ethanol Calendar Swap Contracts OMAHA (DTN) -- According to a CBOT release, the Chicago Board of Trade Tuesday announced plans to establish clearing services for two new over-the-counter (OTC) Ethanol Calendar Swap contracts. The new products, which will include contracts for both forward and previous month calendar swaps, will be based on the price of CBOT Ethanol futures contracts. Scheduled to be introduced on December 4, 2006, CBOT Ethanol Swap contracts are the first exchange-cleared OTC products to be specifically tailored for use in the ethanol industry.
CBOT Ethanol Swap OTC transactions will take place "off exchange" -- away from the Exchange's trading environment -- where they are privately negotiated by counterparties. After negotiations are complete, the transaction is submitted to a CBOT clearing firm. The benefits of exchange-cleared OTC trades are many, including daily mark to market, which allows customers to better manage their capital costs, and elimination of counterparty risk. In addition, exchange-cleared OTC trades offer a standard, transparent reference point for marking and valuing OTC positions along with the CBOT Ethanol futures contract.
CBOT Senior Vice President of Business Development Robert D. Ray said, "OTC transactions have become commonplace in energy sectors such as crude oil and natural gas. With the Ethanol market continuing its rapid expansion, we feel that now is the ideal time to establish the clearing for OTC Ethanol Swap contracts and provide new and innovative opportunities for Ethanol industry market participants. The new contracts demonstrate our strong commitment to the Ethanol industry, following on the heels of our Ethanol futures contract, which is viewed as the pricing benchmark for the industry."
CBOT Ethanol Swap contracts will be cleared by the Exchange's clearing services provider. Clearing hours will be 6:36 p.m. CT through 4:00 p.m. CT, Sunday through Friday.
For each listed Ethanol futures contract, there will be a corresponding previous and forward month OTC Ethanol Swap contract.
For more information, please visit www.cbot.com/ethanol.
DALLAS – (November 6, 2006) – Dallas-based White Energy Holding Company, LLC, an emerging leader in U.S. ethanol production, announced today that it has acquired a 100-million-gallon-per-year (“MGPY”) greenfield ethanol project from The Scoular Company (“Scoular”), a nationwide agricultural services company, headquartered in Omaha, Nebraska. The plant, located in Plainview, Texas, will be a “near twin” of White Energy’s other ethanol facility under construction in Hereford, Texas. The Plainview facility is fully permitted and construction is underway, with completion targeted for early 2008.
White Energy also owns an operating 45-MGPY plant in Russell, Kansas which, when combined with output of the two Texas plants, will bring White Energy’s total production capacity to 245 MGPY.
In addition to acquiring the Plainview site, White Energy has formed a long-term strategic relationship with Scoular, based in Omaha, Nebraska. Under comprehensive long-term Agreements, Scoular will provide grain procurement and distillers grain marketing services for selected White Energy plants and comprehensive risk management services for the company. “This acquisition fits well into our expansion plans, and, with the addition of Scoular’s agricultural transportation and distribution expertise, White Energy has significantly elevated its competitive position in the renewable fuels market,” said Kevin D. Kuykendall, White Energy’s Chief Executive Officer. “The synergies offered by the close proximity of Hereford and Plainview will enable us to serve market demand in the West and Southwest and establish White Energy as a leading ethanol producer and distributor in the U.S.” “We look forward to a partnership with this growing company,” said Randal Linville, President and Chief Executive Officer of Scoular. “White Energy is quickly becoming one of the nation’s dominant, renewable fuels companies with a compelling vision for plant location. The company’s strategic business plan, strong financial support and experienced management team, coupled with Scoular’s resources and expertise, create a solid foundation for long-term success in what is sure to become a very competitive renewable fuels environment.” White Energy continues to pursue its goal of becoming one of the top ethanol producers by the end of 2008. Kuykendall credits the Scoular partnership with adding depth in specific facets of its ethanol business. “Within the next couple of years, White Energy plans to own and operate several ethanol facilities located close to major ethanol consumption markets,” Kuykendall said. “Ethanol and other renewable fuels offer important solutions to our nation’s growing energy problem, and White Energy is committed to being an industry leader. This means operating a business that is not only substantial but also sustainable by responding strategically in the rapidly-evolving renewable fuels market.” With the Hereford plant only 70 miles away, Kuykendall sees Plainview as an ideal location with many advantages, such as shared management, marketing and logistical resources. The two plants are served by the same BNSF rail line and have nearly identical, state-of-the-art designs by ICM, Inc. Industry-leader Fagen, Inc. is under contract and has begun construction on both plants.
According to Kuykendall, once completed, the Plainview plant will be one of a handful in the country that can simultaneously unload 110 rail cars of grain while loading out 95 rail cars of ethanol. Located in the heart of Texas cattle country, Plainview will provide distillers wet grain (DWG) byproduct to areas feedlots and dairy operations, although both plants will also be equipped to dry the distillers grain for shipment to more distant markets. This ability to load and unload products concurrently coupled with selling DWG locally provides White Energy with both transportation and energy cost advantages, further reinforcing the company’s low-cost producer strategy.
DALLAS — November 1, 2006 — Panda Ethanol Inc. today announced that it intends to build a 100 million gallon-per-year ethanol plant near the city of Muleshoe in Bailey County, Texas. When finished, the facility will annually refine approximately 38 million bushels of corn into a clean-burning, renewable fuel for the nation’s transportation needs. The ethanol produced by the plant will displace approximately 2.6 million barrels of imported oil a year. The Muleshoe facility will generate the steam used in the ethanol manufacturing process by gasifying more than 1 billion pounds of cattle manure a year. Once complete, it will be one of the most fuel efficient ethanol refineries in the nation and equal in size to Panda’s Hereford facility, currently under construction, which will be the largest biomass-fueled ethanol plant in the United States.
The Muleshoe facility is the sixth 100 million gallon ethanol project announced by Panda, and the fourth to be powered by cattle manure. The company has received air permits for three of its six announced ethanol projects. “This plant will significantly expand our ethanol production portfolio, strengthen the economy of the Texas Panhandle and enhance our nation’s energy independence,” said Todd Carter, chief executive officer of Panda Ethanol. “We are excited by the community’s support for this project and look forward to working with state and local officials in seeing it through to completion.” Bailey County, Texas Judge Sherri Harrison said Panda representatives have been actively involved in the community since the beginning of the site selection process. “They have proven to be good neighbors in working with the Muleshoe community to bring ethanol production to Bailey County. This
is a great opportunity for Bailey County, and it has been exciting to work with Panda in locating the project here.”
“This facility will have a tremendous economic development impact on Muleshoe and Bailey County by providing many jobs in several areas and by nearly doubling our tax base,” added Janet Claborn, director of economic development for the Muleshoe Economic Development Corporation. “This is ‘value-added’ for our agricultural community and a natural fit for our dairies and feed yards.”
Panda’s ethanol refinery will be located on a 305-acre site eight miles northwest of Muleshoe, Texas. Construction will take approximately 18 months. The completion date is dependent upon financing, regulatory approvals and other conditions. Panda intends to submit its request for an air permit with the Texas Commission on Environmental Quality this week.
Panda Ethanol previously announced that it successfully completed the debt and equity financing on its 100 million gallon ethanol plant in Hereford, Texas. The company has begun facility construction on the 380-acre site and anticipates ethanol production to commence in the second half of 2007. The company also announced that it has entered into a merger agreement with Cirracor, a publicly-held corporation which trades over the counter. The merger is currently expected to become effective in the fourth quarter of 2006, subject to the satisfaction of certain requirements, and the combined entity will operate under the name of Panda Ethanol Inc. Panda Ethanol
Panda Ethanol is headquartered in Dallas, Texas. The company is currently developing fuel ethanol refineries and biomass facilities in the United States. Panda Ethanol’s largest single shareholder is Panda Energy International Inc., a privately-held company which has built over 9,000 MW of electric generation capacity at a cost of $5 billion. In 2005, Newsweek magazine named Panda one of the most eco-friendly companies in America. Additional information on Panda Energy and Panda Ethanol can be found at www.pandaenergy.com.
11.01.06 - Panda Ethanol Inc. today announced that it intends to build a 100 million gallon-per-year ethanol plant near the city of Muleshoe in Bailey County, Texas. When finished, the facility will annually refine approximately 38 million bushels of corn into a clean-burning, renewable fuel for the nation’s transportation needs. The ethanol produced by the plant will displace approximately 2.6 million barrels of imported oil a year.
The Muleshoe facility will generate the steam used in the ethanol manufacturing process by gasifying more than 1 billion pounds of cattle manure a year. Once complete, it will be one of the most fuel efficient ethanol refineries in the nation and equal in size to Panda’s Hereford facility, currently under construction, which will be the largest biomass-fueled ethanol plant in the United States.
The Muleshoe facility is the sixth 100 million gallon ethanol project announced by Panda, and the fourth to be powered by cattle manure. The company has received air permits for three of its six announced ethanol projects. “This plant will significantly expand our ethanol production portfolio, strengthen the economy of the Texas Panhandle and enhance our nation’s energy independence,” said Todd Carter, chief executive officer of Panda Ethanol. “We are excited by the community’s support for this project and look forward to working with state and local officials in seeing it through to completion.” Bailey County, Texas Judge Sherri Harrison said Panda representatives have been actively involved in the community since the beginning of the site selection process. “They have proven to be good neighbors in working with the Muleshoe community to bring ethanol production to Bailey County. This
is a great opportunity for Bailey County, and it has been exciting to work with Panda in locating the project here.”
“This facility will have a tremendous economic development impact on Muleshoe and Bailey County by providing many jobs in several areas and by nearly doubling our tax base,” added Janet Claborn, director of economic development for the Muleshoe Economic Development Corporation. “This is ‘value-added’ for our agricultural community and a natural fit for our dairies and feed yards.”
Panda’s ethanol refinery will be located on a 305-acre site eight miles northwest of Muleshoe, Texas. Construction will take approximately 18 months. The completion date is dependent upon financing, regulatory approvals and other conditions. Panda intends to submit its request for an air permit with the Texas Commission on Environmental Quality this week.
Panda Ethanol previously announced that it successfully completed the debt and equity financing on its 100 million gallon ethanol plant in Hereford, Texas. The company has begun facility construction on the 380-acre site and anticipates ethanol production to commence in the second half of 2007. The company also announced that it has entered into a merger agreement with Cirracor, a publicly-held corporation which trades over the counter. The merger is currently expected to become effective in the fourth quarter of 2006, subject to the satisfaction of certain requirements, and the combined entity will operate under the name of Panda Ethanol Inc.
10.20.06 - China National Cereals, Oils and Foodstuffs Corporation (COFCO), the country's main fuel ethanol producer, said yesterday that it will invest more than US$1 billion in ethanol projects in line with the nation's plan to develop clean energy."In the next three to five years we will spend 10 billion yuan (US$1.26 billion) in the ethanol sector so as to increase the production capacity to 3 million tons," said Yue Guojun, general manager of COFCO's bio-chemical and bio-energy division.
The company yesterday officially began construction of a cassava ethanol plant in South China's Guangxi Zhuang Autonomous Region, which has an annual production capacity of 400,000 tons.
The plant will be one of the world's biggest fuel ethanol plants using cassava root, with a total investment of 1.46 billion yuan (US$185 million), said Yue.
It will take 12 to 14 months to build the first of two production lines in Guangxi. COFCO will begin construction of a second line late in 2007 or early in 2008."As a new business, we will attach great importance to the development of bio-energy in the future," Ning Gaoning, president of COFCO, told reporters during a press conference for the company to change its logo.
"We estimate a net profit of 1 billion yuan (US$126.6 million) a year after all the ethanol capacity is put into operation," said Yue, who is in charge of the company's bio-energy business.
Ning told reporters that COFCO was in talks to buy into the 440,000-ton-per-year ethanol plant in East China's Anhui Province. And it is also awaiting government approval to build a 300,000-ton-per-year ethanol plant in North China's HebeiProvince and another plant in Northeast China's Liaoning Province of a similar size.
The Hebei plant will convert corn and sweet potatoes into bio-fuel, while the Liaoning plant will use only sweet potato, he said.
The firm already owns an ethanol plant in Northeast China's Heilongiang Province and has a 20 per cent stake in another plant in JilnProvince, both with total annual capacity of 800,000 tons and using corn as feedstock.
China has become the world's third-largest ethanol producer after Brazil and the United States, said the National Development and Reform Commission (NDRC).
The government will continue offering subsidies to fuel ethanol producers. It currently provides the four plants 1,373 yuan (US$173.8) in subsidies for every ton of ethanol.
The nation plans to double its domestic ethanol gasoline production figure in the 11th Five-Year Plan period (2006-10), said the NDRC.
Bio-energy has been developing rapidly in China. According to statistics, by the end of 2005 more than 18.07 million households were using methane gas for fuel.
More than 3,550 bio-energy projects produce nearly 7 billion cubic metres of methane each year, according to the statistics.
Bio-energy will account for 1 per cent of China's renewable energy consumption by 2010, and 4 per cent by 2020, said sources with the Ministry of Agriculture(MOA).
Analysts said that developing bio-energy in rural China will promote the development of China's agricultural industry.
According to the MOA, China's installed capacity of bio-energy electricity will reach 5.5 million kilowatts by 2010, and 30 million kilowatts by 2020.
Source: China Daily
NEW YORK, NY--(MARKET WIRE)--Oct 16, 2006 -- Globex, Inc. today announced that is entering the final phase of negotiations with Brazilian Private Organizations to acquire national ethanol permits. These permits will allow Globex to construct an ethanol plant in Brazil. Globex's plans, which are to build an ethanol plant that will employ its proprietary supercritical fluid (SCF) pre-treatment technology and produce ethanol by using residues from crops; wood chips; and pulp and paper, have been received favourably by the Brazilian organizations. Globex expects that a Memorandum of Understanding with respect to the purchase of the permits will be completed and signed by the end of the month.
About Globex, Inc. The mission of Globex, Inc. is to develop conversion technologies and methods related to the production of alternative 'green' energy. Our objectives are to become an important player in the high-growth ethanol industry and, in turn, establish a strong position in the green energy industry. Globex's goal is to capitalize on the rapid rise in the demand for ethanol that is being driven by the energy bill passed by the US Congress last year, which mandates the use of ethanol as a fuel additive rather than MBTE in order to reduce greenhouse gas emissions. In particular, the bill requires an increase in ethanol use by refiners to 7.5 billion gallons by 2012, which is nearly double the current total of about 4 billion gallons per year.
10.13.06 - SAN RAMON, Calif. Oil company Chevron Corp. on Tuesday said its alternative energy subsidiary has agreed to prepare a proposal to develop ethanol plants for Ethanex Energy Inc., a publicly traded renewable energy company.
Under the agreement with Ethanex, Chevron Energy Solutions will perform engineering studies and design work to prepare a detailed plan to build high-efficiency ethanol plants. Financial terms of the pact were not disclosed.
The proposal is expected to include details for Chevron to negotiate contracts to engineer and build at least three biofuel plants for Ethanex by 2008. The plants would be located in Missouri, Illinois and Kansas, and would each produce about 132 million gallons of fuel-grade ethanol per year.
Ethanol is produced from the sugar and starch in crops, and in the U.S. is made mostly from corn. Ethanol is used largely as a cleaner burning additive to gasoline.
Chevron shares dipped 15 cents in aftermarket activity to $63.75, after rising 66 cents to close at $63.90 on the New York Stock Exchange. Over-the-counter shares of Ethanex dipped a penny to finish at $4.64.
COMMERCIAL ALCOHOLS BECOMES GREENFIELD ETHANOL
10.02.06 - TORONTO: Commercial Alcohols Inc, Canada’s leading ethanol producer, has taken on a new name to reflect its fast-growing ethanol production business. The new name is GreenField Ethanol Inc., to illustrate the growing importance of its ethanol business. The company, which still has a substantial beverage and industrial alcohol production business, began from a standing start in 1989 as Commercial Alcohols and has grown to be Canada’s leading fuel and packaged alcohol producer. Through leadership and ingenuity, GreenField has forged a business model over the past 18 years that sets it apart from an industry that is focused almost exclusively on the construction of one-off fuel plants. “GreenField Ethanol is committed to being a leader in the development of world-class ethanol production facilities,” said President and CEO Bob Gallant.“This company is poised to take advantage of the rapid growth in the fuel ethanol marketplace by practicing what it preaches – disciplined management, creative thinking and an unending drive to do better.” GreenField has three world-class ethanol-manufacturing facilities and two new facilities under development. The plants are located in Chatham and Tiverton, Ontario and a new facility will open in early spring of 2007 in Varennes, Quebec. Construction on two 200-million litre per year plants, in Johnstown and Hensall, Ontario, is slated to begin shortly.GreenField’s expansion plans show that ethanol production is projected to grow to more than 700 million litres per year by 2008 making GreenField one of the top producers in North America.
“GreenField has experience in building several successful ethanol plants in Canada and is committed to remaining at the forefront of biofuels production technology in the future,” said Gallant.The Canadian government has committed to require 5 per cent average renewable content in Canadian gasoline and diesel fuel, such as ethanol and biodiesel, by 2010. GreenField’s industrial and beverage alcohol subsidiaries continue to grow and increase market share adding a dimension to the company that provides stability and sustainable earnings. For more information about industrial and beverage alcohol please visit www.comalc.com. They will remain active under the name Commercial Alcohols. GreenField Ethanol can be found at more than 400 Sunoco gas stations across Ontario. The ethanol added this gasoline has reduced greenhouse gas emissions by more than one million tons since 1997. CAI’s long-term partnership with Suncor (Sunoco) was the first major contract between an ethanol supplier and a major oil company in Canada and it paved the way for the renewable fuels industry in this country. The company’s name change is effective immediately.
Jefferson Junction, WI – Renew Energy broke ground October 5, 2006, on Wisconsin’s newest and largest ethanol plant. Renew Energy’s plant will produce 130 million gallons of ethanol per year and add 60 new jobs to the Jefferson area. “This is more than twice the size of the next largest plant in Wisconsin,” said Jeff White, Renew Energy CEO. “Together with its sister plant, Utica Energy, we will be producing over 180 million gallons of ethanol. That’s roughly equivalent to all the other plants in Wisconsin combined.” Governor Jim Doyle was on hand to kick off the groundbreaking ceremony. “Here in Wisconsin, we’re doing our part and setting an example for the nation in energy independence,” Governor Doyle said. “As I’ve always said, when it comes to our energy future, we should be more dependent on the Midwest, and less dependent on the Mideast.” Governor Doyle has made promotion of Wisconsin’s biofuels industry a centerpiece of his administration’s economic development policies. Renew Energy Chairman Paul Olsen thanked the many people who had a hand in the company’s progress. “This started as a dream for energy independence and as a way to help farmers get some additional value for their crop. Today Renew Energy has become a leader in the world-wide effort to end our addiction to fossil fuels. We would not be here today if many other people hadn’t shared that vision.” Nicole Reese, Wisconsin’s Alice in Dairyland, added, “This will be a wonderful addition to Wisconsin’s agricultural community, providing a local market for over 50 million bushels of corn per year.” The company is expecting to invest over $100 million in the construction project and employ 120 workers over the next year. Completion is scheduled for July of 2007. White added, “Renew is deploying state of the art technologies that will result in our plant being more energy efficient and environmentally friendly. We will consume 20% less natural gas per gallon of ethanol produced that the industry standard. For air emissions such as carbon monoxide, nitrous oxides, and volatile organic compounds, we will produce less than at older facilities half our size.” Renew Energy is also developing numerous retail fuel outlets that will promote the use of E-85 and other ethanol blended fuels. The company currently has 8 stations and will be expanding at an accelerated pace during the next few years. Local officials also expressed their excitement at the scope of the project. Sherry Lange, Aztalan Town Chairperson said, “This is good for all of Jefferson County, as well as our township.” Jefferson County Chairperson Sharon Schmeling added, “Renew Energy has been a great partner already for our community and we look forward to the positive impact on our economy and our environment for years to come.” Former State Representative David Ward, who has been an outspoken advocate for the ethanol industry said, “This is why we have worked so hard to promote the biofuels industry in Wisconsin – its good for the economy, good for the consumer, and good for the environment.” Future plans at the site may include a tilapia fish processing operation and a 20 million gallon a year biodiesel plant. These projects could add up to 90 additional workers.
IOWA FALLS, Iowa--(BUSINESS WIRE)--Sept. 18, 2006--Hawkeye Holdings Inc., today announced that it has temporarily delayed the initial public offering of shares of its common stock.
Bruce Rastetter, CEO of Hawkeye, said, "We have decided to temporarily delay our IPO in light of current conditions in the equity markets, and the recent pullback in the energy segment in particular, which are not conducive at this time to achieving appropriate valuation. Hawkeye is enjoying record earnings and sales as a leading privately-held company in the renewable fuels market and will continue to make planned investments in new facilities as well as seek attractive acquisition opportunities in pursuit of our growth plan, and we remain on track to break ground next month on our new plant in Menlo, Iowa."
On September 5, 2006, Hawkeye Holdings Inc. filed an amendment to its registration statement on Form S-1 for an initial public offering of equity securities, which is not yet effective. The securities may not be sold nor may offers to buy be accepted prior to the time the registration statement becomes effective. This press release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.
About Hawkeye - Headquartered in Iowa Falls, Iowa, Hawkeye Holdings, through its Hawkeye Renewables operating subsidiary, is a leading privately-held company in the renewable fuels market and the third largest manufacturer of ethanol in the United States. Hawkeye currently owns and operates ethanol plants in Iowa Falls and Fairbank, Iowa with a combined annual production capacity of 215 million gallons
09.18.06 - Last month, DTN, the leading business-to-business provider of real-time information services, announced a suite of innovative solutions for ethanol producers and traders. To succeed in today’s rapidly developing market, ethanol producers must master critical success factors, such as tracking volatile market prices, procuring input grains, selling co-product distillers grains (DGs) and optimizing terminal operations. To help meet these needs, DTN has developed ethanol solutions to drive maximum profitability in the production, marketing and sales of today’s biofuel products.
DTN’s proven market intelligence helps producers manage price volatility through comprehensive coverage of agriculture and energy markets. Improving the speed and reliability of price discovery, DTN has unmatched coverage of futures, spot and rack prices, as well as cash grain bids. Market information services include the latest market news, charting capabilities, news, analysis and commentary. DTN also has risk management tools to help producers manage their operation’s gross margins in real-time while managing their risk of exposure. To help ethanol producers market and strategically sell their ethanol product, DTN’s real-time, market-driven pricing ensures confidence, and access to spot contracts, forwards, strips and bids guaranteeing that users will know where prices are headed. The pricing and contracting process for established seller/buyer relationships are streamlined utilizing DTN’s Private Trading Portals. Electronic confirmation eliminates high sales transaction costs and protects pricing through state-of-the-art privacy settings. In addition, advanced inventory controls prevent overselling, and unique pricing tools allow rapid reaction to market changes. On the backend, DTN portals facilitate easy data export and reconciliation of sales contracts and shipping records. “DTN ethanol solutions offer a comprehensive toolkit of services for the growing biofuels market,” said Robert Gordon, chief executive officer, DTN. “Our goal is to make it easy for ethanol producers and traders to see the real-time market activity, industry news and pricing information moving the market. We offer market participants the tools and resources they need, in one package, to make smart decisions.”
Ethanol producers rely on efficient grains procurement to protect their margins. The simple, yet effective, portal interface allows users to post grain bids to qualified sellers. Other features help reduce price slippage between contract and hedge, couple bids to market movements automatically and track input costs. As a result, producers can work confidently, knowing DTN reaches 70 percent of top grain producers every day.
Co-products such as DGs represent a growing market segment for ethanol producers. DTN’s online solutions help users maximize the sale of DGs through several unique offerings. An industry leading online transaction service provides instant contact with DG buyers and confirms deals using electronic notification and deal tracking. This eliminates high cost selling methods requiring endless phone calls to complete a deal. DTN connects daily with over 90 percent of top livestock producers, and as a result, their real-time market pricing enables ethanol producers to sell co-products at market prices.
To help streamline terminal operations, DTN software and hardware control inbound and outbound product movements for input grains, ethanol and DGs. Automated railcar and truck loading/unloading controls and tracks product distribution and reconciliation of delivery and sales records. The portal integrates easily into back-office systems offering extensive reporting capabilities to ensure accuracy, safety and regulatory compliance.
About DTN - DTN, a private company based in Omaha, Neb., is the leading business-to-business provider of real-time market, news and weather information services to agriculture and energy trading markets and other weather-sensitive industries. The company delivers on-demand market information, commodity cash prices, industry news and in-depth analysis, and location-specific weather to over 120,000 subscribers through DTN for agriculture, refined fuels and trading markets, and DTN/Meteorlogix. More information can be found at www.dtn.com.
09.12.06 - New York, NY (Ethanol Finance and Investment Summit) - Everton Energy, a new biofuel company headquartered in Kansas, officially launches today at the Ethanol Finance and Investment Summit with the appointment of Bert Farrish as the company’s first Chief Executive Officer. Farrish joins Everton from the United States Department of Agriculture (USDA), where he served as Deputy Administrator for Commodity Operations for the Farm Service Agency. In this role, Farrish was directly responsible for the administration of the United States bio-diesel and ethanol bio-energy program.
Under Farrish’s direction, Everton is currently planning the development and construction of its first ethanol production facility, a plant in Concordia, Kansas that will have a 100 million gallon per year production capacity. Everton also plans to announce details regarding the location and development of a second facility in the near future.
“Our vision is to build a fully integrated energy production and marketing company, using the latest technological developments in bio-energy,” said Farrish. “We are in a unique position to take a leadership stake in the rapidly growing biofuel industry, and we expect to be producing ethanol within just three years. By 2010, Everton will be one of the leading producers and suppliers in the United States.”
Farrish brings more than 30 years experience in the grain industry and government to Everton. Prior to his four years of service in the Bush Administration, Farrish was President of Columbia Grain, Inc., a leading grain exporter managing a 10% share of total U.S. wheat exports. While at Columbia Grain, Farrish directed the conception, design and construction of the first high-capacity wheat cleaning facility in the United States.
Everton is partnering with ICM of Colwich, Kansas to design and construct its new facility in Concordia. The plant has already been slotted by ICM to begin construction in the first half of 2007. ICM is the nation’s leading designer of ethanol plants, with 64 facilities in operation in the United States. “Everton’s new facility will be a win-win for both farmers and consumers,” said Farrish. “The Concordia location offers Everton strong access to feed stock, energy, and distribution channels that will provide us with a low cost structure and an opportunity for rapid growth.” Everton was formed by Leon Trammell, Chairman, and Steve Cloud, President, of Tramco, Inc. of Wichita, Kansas. Trammell will serve as Chairman of Everton Energy and Cloud will assume the role of Vice Chairman. “Bert Farrish brings a wealth of knowledge and experience in agriculture and bio-energy to Everton, and he has proven that he possesses the ability to think creatively in both the private and public sectors,” said Trammell. “His background in business, government and as a farmer will allow him to develop Everton into an industry powerhouse in biofuel development.” Everton is working closely with the community leaders in Concordia as it enters the final stages of planning for the company’s new ethanol facility. “We are excited that Everton has chosen Concordia for its first site,” said Kirk Lowell, Director of CloudCorp, the economic development arm of Cloud County, Kansas. “This will be a tremendous boost to the north central Kansas economy and to our farmers.” Everton Energy, LLC develops and acquires ethanol plants, with the goal of being a leading integrated producer and marketer of biofuels by 2010. Construction of Everton’s first plant, a 100 million gallon ethanol facility in Kansas, is set to begin in the first quarter of 2007, and ethanol production is slated to start in the first half of 2008. Everton has retained Scura Rise & Partners Securities LLC of New York to assist with financing, and Sidley Austin LLP to serve as legal counsel.
09.09.06 - INVERGROVE HEIGHTS, MINN. – US BioEnergy will celebrate the opening of Michigan’s third ethanol plant in Woodbury Thursday, Sept. 14. Festivities will include guided plant tours at 10:30 a.m., lunch at 11:30 a.m. and a formal opening celebration at 1:15 p.m. Mitch Irwin, director of the Michigan Department of Agriculture, will serve as master of ceremonies. Bob Dineen, president of the Renewable Fuels Association will speak along with company officials. “This is an exciting day for US BioEnergy as we celebrate the opening of our second fully operational facility,” said Gordon Ommen, the company’s chief executive officer. “We are proud our facility will provide additional markets for area corn growers, a new feed source for livestock producers as well as new jobs for the community.” US Bio Woodbury will use more than 16 million bushels of corn to produce 50 million gallons of ethanol annually and 160,000 tons of dried distiller's grain, an animal feed co-product of the ethanol process. The plant employs more than 40 people. US BioEnergy Corporation is a producer and marketer of ethanol and distillers grains. The company currently operates two ethanol plants, one of which is in the process of expansion, and has two additional ethanol plants under construction. Upon completion of these initiatives, the company will own and operate four plants with combined expected ethanol production capacity of 300 million gallons per year.
09.31.06 - Sarnia, Ontario – Suncor Energy Products Inc.’s investment in a clean energy future took another step forward today with the grand opening of Canada’s largest ethanol-production plant.
Ontario Premier Dalton McGuinty and Patricia Davidson, Member of Parliament for Sarnia-Lambton joined Suncor Energy’s Executive Vice President, Tom Ryley, and other guests to celebrate the official opening of the plant located in St. Clair Township, near Sarnia.
“Today marks a milestone for our business and for renewable fuels in Ontario,” said Ryley. “We’ve been blending up to 10 per cent ethanol in all our Sunoco retail gasolines since 1996, and we are now proud to take an even larger role in ethanol production and in renewable fuels.”
The $120 million facility is expected to annually produce 200 million litres of ethanol. Feedstock for the ethanol will come from 20 million bushels of corn per year, sourced primarily from Ontario farmers. The facility generated employment for 38 people.
The plant was partially funded with $22 million from the Government of Canada’s Ethanol Expansion Program and was also supported through an Ethanol Manufacturers’ Agreement with the Province of Ontario.
“The Government of Canada has set a goal of an average of five per cent renewable-fuel content in vehicle fuels by 2010. We are working with provinces, territories and other stakeholders to achieve this realistic, concrete objective,” said Ms. Davidson, on behalf of Gary Lunn, Minister of Natural Resources Canada. “We congratulate Suncor on opening this impressive facility, and I’m confident we can look to them to make key contributions to reaching our goal.”
As a clean burning, renewable resource, ethanol blended into gasoline helps reduce emissions that contribute to smog and global warming. A study by the Pembina Institute estimated that carbon dioxide would be reduced by 300,000 tons per year by using ethanol from the Sarnia plant compared to conventional gasoline.
In recognition of the community’s support for the new facility, the Suncor Energy Foundation presented $50,000 to St. Clair Township Mayor Steve Arnold to expand a multipurpose recreational trail along the St. Clair River.
“We would like to thank both the provincial and federal government for their partnership in this initiative, and we look forward to continued collaboration as we explore opportunities for renewable energy,” says Ryley. “Suncor’s renewable energy projects, including our new ethanol production facility, are prime examples of Suncor’s commitment to renewable energy and are part of our sustainable energy strategy.”
From 2005 to 2007, Suncor expects to invest more than $1.4 billion in Ontario, demonstrating its commitment to developing economic growth and environmental benefits in the province. This investment includes spending to improve the environmental performance of the company’s Sarnia refinery, construct and commission the ethanol facility, and build a proposed 76 megawatt wind power project near Ripley, Ontario
08.12.08 - Aventine announces 220 million gallon per year ethanol refinery
08.07.08 - ADM Posts FY 2006 Results, click on link for Press Release PDF
08.01.06 - PEKIN, IL., (July 26, 2006) – Aventine Renewable Energy Holdings, Inc. (NYSE:AVR),
a leading producer, marketer and end to end supplier of ethanol, today announced that it
will be the exclusive marketer for Xethanol Corporation’s (AMEX:XNL) newly
announced expansion of its Blairstown, Iowa ethanol facility. Xethanol, an existing Aventine marketing alliance partner, recently announced an
expansion of its Blairstown facility from 6 million gallons per year to 41 million gallons
per year. Aventine currently markets for Xethanol all existing ethanol production from
the Blairstown facility, and will now market all 41 million gallons when the facility
expansion in completed in the second half of 2007. Xethanol and Aventine’s relationship
extends back to 2005. Ron Miller, Aventine’s President and Chief Executive Officer said, “We are pleased that
our existing partnership with Xethanol is expanding. Each of our companies has a
history of being successful in providing alternative energy solutions to help America
reduce its addiction to oil, and we look forward to continuing to expand this
relationship.” Miller continued, “the addition of these new gallons from Xethanol will
help us in furthering our goal of being the premier end to end supplier of ethanol in the
About Aventine - Aventine is a leading producer, marketer and end to end distributor of ethanol in the
United States. Aventine produces, markets and distributes ethanol to leading energy
companies. In addition to ethanol, it is also a producer of corn gluten feed, corn germ
and brewers’ yeast.
About Xethanol Corporation - Xethanol Corporation's goal is to be the leader in the emerging biomass-to-ethanol
industry. Xethanol's mission is to optimize the use of biomass in the renewable energy
field and convert biomass that is currently being abandoned or land filled into ethanol and
other valuable co-products, especially xylitol. Xethanol's strategy is to deploy
proprietary biotechnologies that will extract and ferment the sugars trapped in these
biomass waste concentrations. Xethanol's strategic value proposition is to produce
ethanol and valuable co-products cost effectively with ethanol plants located closer to biomass sources. Xethanol's biotechnologies are currently deployed in its two ethanol
production facilities in Iowa.
07.25.06 - In cooperation with NYSERDA and the Office of General Services (OGS), the Thruway Authority opened a new E85 fueling station at their Headquarters in Albany. The site opened in March of this year and is available to all state agencies. The National Ethanol Vehicle Coalition has supported the recent E85 efforts in NY with the provision of a $20,000 grant. Thruway Authority Executive Director Fleischer said, "Thanks to the leadership of Governor Pataki, Thruway motorists with flex fuel vehicles will now have the option of filling their tanks with E85 fuel at the New Baltimore Travel Plaza. This site is just the first of many Travel Plazas along the Thruway system that will offer the E85 fuel option, an environmentally-friendly alternative to fossil fuel. Coupling this initiative with the special E-ZPass discounts the Authority now offers select Hybrid vehicles, demonstrates that the Authority is committed to an environmentally-friendly New York State."
Earlier this year, Governor Pataki proposed a comprehensive energy independence plan to reduce New York's reliance on imported energy. In addition to establishing a "gas tax cap" at $2 per gallon or 8 cents in sales tax, the Governor and Legislature reached agreement to enact a number of important E85 initiatives among others that will help to accomplish this goal:
The elimination of all State taxes on renewable automobile fuels, including E85.
A $10 million competitive grant program, administered by NYSERDA, for private sector gasoline companies to install renewable fuel pumps for E85.
The prohibition of "exclusivity" contracts between fuel providers and retail service stations, which only allow the service stations to sell specific brands of fuel. In most cases, these brands do not include renewable fuels.
The expansion of the State's Empire Zones program to provide tax benefits to clean energy companies regardless of where they are located in New York State. These tax incentives will be available to qualifying companies engaged in research, development, or manufacturing of energy-efficient or renewable energy technologies or products.
Tax credits to cover up to 50 percent of the cost of purchasing alternative fuel vehicle refueling equipment that would be used by facilities selling E85 among other fuels
Governor Pataki also issued Executive Order 111 in 2001 that required all state agencies to purchase increasing numbers of alternative fuel vehicles by 2010. By 2010, 100 percent of all light duty vehicles are required to be alternative fuel vehicles.
To further support the introduction of clean fuel vehicles into the private sector, the Governor enacted legislation to provide tax credits for the purchase of alternative fuel vehicles and development of the fueling infrastructure. The Authority's New York and Buffalo Divisions also have E85 fueling stations in operation. These sites are limited only to those vehicles issued a fuel key by the Authority. Plans are in place to open a similar site in Syracuse. Additional plans to include an expanded biofuel infrastructure are currently underway.
07.21.06 - ChemConnect is pleased to introduce a new product offering on the ChemConnect Commodity Exchange (CCEX). Effective immediately, fuel grade ethanol is available as a tradable product on the CCEX. The CCEX is an over-the-counter, real time, neutral and anonymous electronic market where participating companies buy, sell and trade mid-stream energy such as natural gas liquids (ethane, propane, butane and natural gasoline) in addition to ethylene, propylene, benzene toluene and xylene. Market pricing derived from transactions completed on the system are recognized and reported by such groups as Bloomberg, Dow Jones and the Wall Street Journal. Today, the CCEX is widely utilized by a broad range of producers, consumers, traders, petrochemical and refining companies to sell production and inventory and to source and acquire supply. CCEX is the market reference for price discovery, transaction liquidity and execution efficiency. Daily over 250 companies and more than 350 individuals log on to post live, firm bids and offers and to transact. The addition of fuel grade ethanol is a natural extension of our existing product offering and will be attractive to both our existing customer base and other ethanol market participants. We believe that as the ethanol market grows, there will be an increasing need for a transparent and efficient marketplace for sourcing and selling physical product and executing OTC financial swaps. As evidenced in our existing markets, the CCEX will serve that need. Please consider this personal invitation to join the on-line market for ethanol. There is no initial cost to participate. Fees are paid only when you complete a transaction on the platform. In order for you to personally experience how powerful a tool this truly is, we are pleased to offer you a one-month view-only trial. To get started with your trial or to initiate the sign-up process you may respond to this email or contact Aaron Goetze at 713-470-2563. Access more information about ethanol on the CCEX, at http://www.chemconnect.com/ethanol.html
US BioEnergy Announces Plans for Ethanol Plant near Dyersville, Iowa
07.19.06 - BROOKINGS, S.D. (July 13, 2006) – US BioEnergy Corporation announced that it has obtained options on land near Dyersville, Iowa. US BioEnergy intends to construct a 100 million gallon per year (mgy) ethanol facility adjacent to the CN Railway contingent on zoning, permitting, tax incentives and financing. Keith Rahe, Executive Director of Dyersville Industries stated, “We are extremely excited about US BioEnergy’s proposed site near Dyersville and the possibilities that this brings to our community. We have been working on this for about three months and we’re confident that US BioEnergy will be a good neighbor and we look forward to welcoming them to the community.” “Ethanol production is revitalizing our rural economy. A plant of this size will have a tremendous impact on this region including over 40 high paying jobs, a significant increase in the demand for local corn, and accessibility to distillers grain, a high grade animal feed product. We look forward to working with the Dyersville community to build this plant and to play a role in reducing our dependence on foreign oil in a place known for its “Field’s of Dreams,” stated Gordon Ommen, US BioEnergy Chief Executive Officer. Similar to the US BioEnergy plant being constructed in Albert City, Iowa, the proposed plant near Dyersville will be a 100 mgy natural gas fired, dry-grind ethanol facility. A plant of this size typically consumes 37 million bushels of corn and produces 320,000 tons of dried distillers grains annually. Once operational, this type of facility would likely employ over 40 people.
07.17.06 - Celunol Corp., a privately held company based in Dedham, Massachusetts, has appointed Carlos A. Riva as Chief Executive Officer. Mr. Riva will lead Celunol as it commercializes an industry leading technology that converts cellulose from widely available biomass sources into ethanol.
Mike Zak, Partner at Charles River Ventures, a major Celunol investor, applauded the announcement. "Carlos Riva is an acknowledged expert in leveraging energy technologies and market knowledge into successful commercial businesses," he said. "Celunol is fortunate to have someone of his caliber to lead our talented team in seizing the opportunity presented by the dynamic growth of today's biofuels market."
A long-time veteran of the international power and energy industries, Riva previously served as Executive Director of Amecplc, a major global construction and engineering company based in the U.K., where he was responsible for the company's operations in the United States and Britain. He also had responsibility for Amec's global Oil and Gas business strategy.
From 1995 to 2003, Mr. Riva served as Chief Executive Officer of InterGen, a Boston-based joint venture between Shell and Bechtel that developed more than 18,000 megawatts of electric generating capacity, along with gas storage and pipelines, on six continents. Under his leadership InterGen raised $9 billion of non-recourse project financing to construct power projects and grew from a development company concept to a successful, global operating business.
Mr. Riva was also President and Chief Operating Officer of Boston-based J. Makowski Company, which developed the first independent power project in the United States."The growth of the biofuels industry generally, and cellulosic ethanol in particular, is one of the most important developments in today's energy sector. I am thrilled to join Celunol and lead such a talented team of scientists and development professionals," said Riva. "The global market demand for fuels such as cellulosic ethanol is potentially massive, and Celunol's proprietary technology makes it very well positioned to make a major impact in this market."
Celunol Corp. is a privately held company headquartered in Dedham, Massachusetts moving rapidly to commercialize its proprietary technology for producing ethanol from a wide array of cellulosic biomass feedstocks -- including bagasse, agricultural waste, wood products and dedicated energy crops. The company is currently completing an expansion of its existing pilot facility and is moving forward to construct a demonstration plant based on its technology later this year. Celunol aspires to develop and build a portfolio of both conventional grain and cellulosic ethanol facilities in the U.S. and abroad. Shareholders in the company include Braemar Energy Ventures, Charles River Ventures, Khosla Ventures, and Rho Capital Partners. Visit http://www.celunol.com.
07.10.06 - Reaffirming its 10-year tradition as the nation’s premier supplier of biodiesel fuel, World Energy today implemented daily pricing notifications to its customer network using DTN DataConnect™.
Since 1991, DTN has provided real-time transaction data management services to the petroleum industry. World Energy has adopted DTN DataConnect in order to efficiently provide daily pricing information to its diverse customer base. DTN is the petroleum industry’s leading provider of integrated electronic supplier pricing data for the downstream.
“We made the move to DTN DataConnect to better serve our customers and the larger marketplace,” said Gene Gebolys, president and founder of World Energy. “As biodiesel becomes a part of the mainstream distillate pool, it must be priced and supplied in the same manner as other distillate products.”
World Energy has firmly established itself as the industry’s most adept company in the integration of biodiesel into the petroleum marketplace with multiple supply points, flexible infrastructure and comprehensive quality control. World Energy was the first national blender of biodiesel and diesel fuel. The company was also the market leader in selling blended fuel tied to distillate price indicators. With the recent biodiesel industry expansion, World Energy leads the industry in high volume forward sales to major petroleum companies, and leading independent petroleum marketers.
According to Seth Powell of Baltimore’s Tri Gas & Oil, "The move to DTN DataConnect keeps Tri Gas & Oil informed on a daily basis of what is happening in the fast-paced biodiesel market. As biodiesel and other alternative fuels become more mainstream, daily pricing from World Energy will give Tri Gas a competitive edge in being able to index the market for biodiesel in a more informed and consistent manner".
“DTN is pleased to announce its relationship with a leading biodiesel company like World Energy,” said Robert Gordon, chief executive officer, DTN. “Our DTN DataConnect service helps World Energy save money by eliminating inefficient data handling processes. At the same time, we’re making sure World Energy’s audience receives up-to-date pricing information in their preferred format.”
Biodiesel is a clean energy source made from renewable resources like vegetable oils. In the United States, biodiesel is primarily made from soybean oil and is typically used as a supplement to petroleum diesel fuel in blend levels up to 20 percent. Biodiesel production and use in the United States tripled in 2005 due to the fuel’s proven viability as a petroleum extender and performance improver. Biodiesel improves petroleum diesel’s lubricity and emissions performance.
About DTN -
DTN, a private company based in Omaha, Neb., is the leading business-to-business provider of real-time market, news and weather information services to agriculture, energy trading markets and other weather-sensitive industries. The company delivers on-demand market information, commodity cash prices, industry news and in-depth analysis, and location-specific weather to over 120,000 subscribers through DTN for agriculture, refined fuels and trading markets, and DTN/Meteorlogix. More information can be found at www.dtn.com.
About World Energy -
World Energy is the United States’ premier distributor of biodiesel – an alternative, biodegradable and clean energy source made from renewable resources like vegetable oils. The company – the most proven, reliable provider of biodiesel – is a major supplier of biodiesel to petroleum distributors throughout the U.S. as well as all branches of the U.S. military and hundreds of federal, state, and local fleets nationwide. Visit www.worldenergy.net for more information.
FY 2006 Result.pdf
August 8, 2006.pdf
MGPIngredients Earnings, August 8, 2006.pdf
August 7, 2006.pdf
07.14.06 - US BioEnergy Corporation (US BioEnergy) announced the addition of Rich Atkinson as Chief Financial Officer to the Corporation. Mr. Atkinson most recently served as Chief Financial Officer and Corporate Secretary for Pope and Talbot, Inc. Prior to his time at Pope and Talbot, Atkinson was the Chief Financial Officer at Sierra Pacific Resources, where he served over 23 years in the financial division. “I am excited about joining the US BioEnergy team,” said Rich Atkinson. “The company has and will have a tremendously positive impact on the local communities where it operates, and I’m eager to make a contribution to their long-term growth and success. There is a great team here and the energy is infectious." US BioEnergy Chairman and CEO Gordon Ommen stated, “We are pleased to have Rich join the US BioEnergy team. He brings with him over 25 years of experience in the financial arena that will serve him well in this fast paced industry. His financial expertise and leadership abilities are a great addition to our team.” US BioEnergy Corporation is a Brookings, SD based company operating and building large, efficient biofuels plants on strategic sites, partnering with local farmers and communities to provide renewable fuels to America. The company currently has eight plant sites in the Midwest, with one plant operational, three under construction, and four in development. For more information visit US BioEnergy’s website at http://www.usbioenergy.net.
07.13.06 - HOUSTON and MAUMEE, Ohio, July 10, 2006 -Marathon Oil Corporation (NYSE: MRO) and The Andersons, Inc. (Nasdaq: ANDE), jointly announced today that the companies have signed a letter of intent which could lead to the formation of a 50/50 joint venture that would construct and operate a number of ethanol plants. The formation of the joint venture and other related activities are subject to approval by each company's board of directors and the execution of definitive agreements.
The Andersons will provide day-to-day management of the ethanol plants, as well as corn origination, risk management, and dry distillers grain and ethanol marketing services. Site selection is expected to be finalized soon. The initial plant is expected to have a nameplate annual production capacity of 110
"Marathon is one of the nation's leading blenders of ethanol in gasoline and has been doing so for more than 15 years," says Gary R. Heminger, executive vice president of Marathon Oil Corporation and president of the company's refining, marketing and transportation operations. "We see the partnership with The Andersons as an important step in maintaining the reliability of future ethanol supplies and in furthering our commitment to meet the needs of the motoring public in progressive and innovative ways."
"We are pleased to be partnering with Marathon in the pursuit of ethanol as an alternative fuel source," says The Andersons, Inc. president and CEO Mike Anderson. "We believe our strategic relationship is a natural extension of both of the companies' rich histories in our respective industries. The Andersons has a strong tradition of service in grain markets, and recently has begun construction, management and development of ethanol plants. Marathon represents years of petroleum refining and distribution experience. Additionally, both companies have strategic interests in ethanol production and similar philosophies regarding the impact ethanol will have on American consumers and our environment."
million gallons of ethanol. Timing of construction is contingent upon selection, regulatory requirements, permitting and economic incentives.
In accordance with the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995, each of Marathon Oil Corporation and The Andersons, Inc. has included in its respective Annual Report on Form 10-K for the year ended December 31, 2005, and subsequent Forms 10-Q and 8-K, cautionary language identifying other important factors, though not necessarily all such factors, that could cause future outcomes to differ materially from those set forth in the forward-looking statements.
Marathon is the fourth-largest U.S.-based fully integrated international energy company engaged in exploration and production; integrated gas; and refining, marketing and transportation operations. The company has exploration and production activities in the United States, the United Kingdom, Angola, Canada, Equatorial Guinea, Gabon, Ireland, Libya and Norway. Marathon also is developing integrated gas projects that are linking stranded natural gas resources with key demand areas where domestic production is declining and demand is growing, particularly in North America. Marathon is the fifth largest refiner in the U.S. with 974,000 barrels-per-day of crude processing capacity in its seven-refinery system. The Company's retail marketing system comprises approximately 5,600 locations in 17 states; nearly three-quarters are Marathon brand locations. Marathon serves the Midwest and Southeast as a petroleum products marketer with 85 light product and asphalt terminals and access to approximately 7,700 miles of pipeline. For more information about Marathon, visit the Company's Web site at http://www.Marathon.com.
About The Andersons, Inc.
The Andersons, Inc. is a diversified company with interests in the grain, ethanol and plant nutrient sectors of U.S. agriculture, as well as in railcar leasing and repair, turf products production, and general merchandise retailing. Founded in Maumee, Ohio, in 1947, the company now has operations in seven U.S. states plus rail leasing interests in Canada and Mexico. For more, visit The Andersons online at http://www.andersonsinc.com.
This release contains forward-looking statements with respect to a proposed 50/50 joint venture that would construct and operate ethanol plants. Some factors that could cause the actual results to be different than expected include respective board approvals and any necessary regulatory approvals. Additional factors that could affect ethanol plant construction, management and development include transportation logistics, availability of materials and labor, unforeseen hazards such as weather conditions, third party consents and other risks customarily associated with construction projects. The foregoing factors (among others) could cause actual results to differ materially from those set forth in the forward-looking statements.
07.11.06 - Suncor Energy Products Inc. announced today that its St. Clair Ethanol Plant is now in production. With an expected production volume of 200 million litres per year, the St. Clair Ethanol Plant is now the largest ethanol production facility in Canada.
“We are proud of our new, world-class ethanol production facility,” said Tom Ryley, executive vice president of Suncor. “It demonstrates Suncor’s commitment to renewable fuels in Ontario and to playing a leadership role in the Sarnia-Lambton community.”
Located in St. Clair Township, near Sarnia, the St. Clair Ethanol Plant has 38 full-time employees and will provide a number of ongoing opportunities for local suppliers and service providers, including the agricultural sector. The primary feedstock for the plant is corn, and the operation is expected to use 20 million bushels of corn per year.
During construction of the $120 million facility, approximately 250 construction jobs were created.
Suncor has been blending ethanol into its Sunoco-branded gasoline sold since 1996. When blended with gasoline, ethanol helps reduce carbon monoxide emissions by up to 30%. Studies show the use of corn-based ethanol in Sunoco’s fuel has had the equivalent effect of removing more than 20,000 cars from Ontario’s roads. Ethanol is also a natural gas-line antifreeze in winter.
In addition to producing ethanol, Suncor is also supporting renewable energy development in Canada by pursuing wind power projects. Suncor has two wind power projects in operation – SunBridge in southwestern Saskatchewan and Magrath in southern Alberta. A third wind farm near Taber, Alberta received regulatory approval in spring 2005 and construction is under way. Pending regulatory approval, Suncor’s fourth and largest wind farm is planned for a location east of Lake Huron in Ripley, Ontario.
A grand opening celebration at the St. Clair Ethanol Plant is being planned for later this summer.
06.30.06 - On the opening day of the Aventine Renewable Energy Holdings Inc. IPO, share price decreased 11%, closing at $38.37 on Thursday, June 29, 2006. Investors are starting to realize that 2006 may be the best year in the industry for a long time, and the feeding frenzy may slow down a bit. However, the overall stock market has weakened a bit recently. Conversely, Verasun jumped 30% on the IPO opening day trading earlier in June. Last year, Aventine produced over 134 million gallons and sold over 529 million gallons of ethanol, representing over 13% of fuel ethanol sold in the United States last year. Aventine markets ethanol for a number of other ethanol producers.
The 9.06 million share IPO (22% of the company) raised nearly $390 million. Seems like only yesterday they were little Pekin Energy!
06.30.06 - Ford, which recently had been promoting hybrid technology, will now push the focus to a broader range of alternatives fuels options. Ford Chief Executive said, "The strategy doesn't focus on one catch-all solution but offers a flexible array of options, including hybrids, clean diesels, biodiesels, advanced engine technologies and E85 ethanol."
06.29.06 - Underwriters for the Aventine IPO, which is expected happen later this week, have just advised that they expect the initial IPO price will now be between $40 and $43 per share, up from the previous estimate of $37 to $40 per share. Aventine plans on offering 8.06 million common shares, and 1.65 million shares for selling holders. Thye will use the proceeds to pay down debt and to fund expansion plans. The stock will be listed on the New York Stock Exchange, trading under the symbol "AVR."
ChemConnect Offers Renewable
Energy Trading with New OTC Physical Ethanol Platform
Addition to the ChemConnect Commodities Exchange will help companies efficiently buy and sell important gasoline additive; enhanced price visibility also expected to support growth of futures trading and improve risk management opportunities
HOUSTON, TX (June 27, 2006) - ChemConnect, Inc., the leading electronic exchange for trading midstream energy, chemicals, plastics and related products, today announced the addition of ethanol to its Commodity Exchange platform. The ChemConnect Commodity Exchange is widely recognized as the leading platform for price discovery and physical transaction execution for other gasoline blendstocks and octane components such as toluene, xylene, butanes and natural gasoline. The addition of ethanol to the exchange will provide buyers and sellers a more efficient method for marketing and trading this increasingly important additive.
Ethanol is a globally growing alternative and renewable fuel with projected capacity expected to almost triple in the United States over the next 5 years. U.S. production capacity has already exceeded the 4 billion gallon goal for 2006 set by the 2005 Federal energy bill. Over 30 new ethanol plants are projected to be available through 2007, with demand growth accelerated by the phase-out of MTBE in the US gasoline pool.
ChemConnect will initially add the capability to transact with counter-parties on a bilateral basis at the primary ethanol trading hubs of Argo, Illinois, New York Harbor, Albany, Dallas/Ft. Worth, Houston, Phoenix and Los Angeles/Long Beach. "The ethanol industry is in a dramatic growth phase and is desperately in need of price discovery and an efficient transaction medium to help provide real-time visibility into the supply/demand balance," said Eric T. Paulsen, vice president of commodity markets, ChemConnect. "We believe an expanded and robust physical liquidity pool at some of the primary trading hubs should help create an orderly transition to an efficient market."
Current gasoline market conditions have been hampered by elimination of MTBE and aggravated ethanol transportation and distribution issues due to the very sharp growth of ethanol use."The addition of a transparent and liquid market transaction platform across a range of consuming regions should also support the growth of the CBOT ethanol futures contract," said Jeff DeReamer, CEO of EthanolMarket.com. "Enhanced price visibility for an array of geographic locations helps define basis price risk and will improve risk management opportunities for many in the industry."
ChemConnect is a leader in helping customers optimize their purchasing and sales processes for chemicals, plastics, and related products through a unique combination of market information, industry expertise, e-commerce solutions, and an active network of trading partners. More than 7,500 Member companies in multiple industries around the world can use ChemConnect's highly efficient tools and services to streamline transactions and lower costs. Visit www.chemconnect.com for more information.
Note to Editors: ChemConnect is a registered trademark of ChemConnect, Inc. All other product, trademark, company or service names mentioned herein are the property of their respective owners.
Green Plains Renewable Energy, Inc. (NASDAQ: GPRE—Press Release) announced June 15, 2006, that they received an air permit for its second ethanol project near Superior, Iowa, from the Iowa Department of Natural Resources. GPRE, through its wholly owned subsidiary, Superior Ethanol, owns 68 acres of land near Superior, and has options to purchase additional land adjacent to the acquired site, where the Company intends to build a 50 Million Gallon, Fuel Grade Ethanol Plant. The engineering is presently being done by the Company's Design Builder for the Superior site, the soil borings have been completed and test wells are anticipated to be drilled in the near future. Construction on the Plant in Shenandoah, Iowa is progressing. Fagen's crews have completed the cement work on the beer well and 3 fermentor tanks and work on the grain receiving facility is scheduled to commence next week. The Company anticipates that the Shenandoah plant will be in production as early as April of 2007. Concerning our third proposed plant, the Company is scheduled to present the findings of its water studies, traffic studies and rail impact studies to the Cass County Board of Supervisors in Atlantic, Iowa on June 30, 2006. It is anticipated that the zoning approval will be granted for the site in Atlantic once the findings of the studies are presented to the Board. The Company intends to build a 50 Million Gallon Fuel Grade Ethanol Plant in Atlantic, Iowa as previously announced. The Company has also acquired options to purchase land at two other locations -- one in Iowa and another in Minnesota. GPRE is presently performing the necessary due diligence into the feasibility of both sites. If the feasibility studies indicate that plants can be supported at these sites, the Company intends to build 50 Million Gallon Fuel Grade Ethanol Plants at both sites. Representatives from Burlington Northern (NYSE: BNI) have indicated they would be able to service the plant in MN, as has the rail provider in Iowa.
DECATUR, June 13, 2006, Press Release - Archer Daniels Midland Company and Millennium Ethanol LLC are pleased to announce the formation of an ethanol marketing agreement. As part of this marketing agreement, ADM will market all ethanol produced by Millennium Ethanol at its forthcoming 100 million gallon Marion, South Dakota facility. “We’re pleased to partner with Millennium Ethanol to help meet the growing demand for ethanol in the United States,” stated Martin Lyons, division Senior Vice President-Ethanol Sales & Marketing. “Ethanol can help meet our nation’s energy needs, increase demand for the harvest and improve our environment.” “We are excited to have the opportunity to work with ADM, the industry leader in ethanol production and marketing. The market access and penetration that ADM brings to the table will be invaluable to the success of Millennium Ethanol,” stated Steven Domm, CEO, Millennium Ethanol. “We look forward to a successful long-term relationship and are awaiting the construction of our facility.” Millennium Ethanol LLC is owned by 914 South Dakota investors, including farmers and business people from across the state. The plant will have a design capacity to produce 100 million gallons of ethanol and 320,000 tons of dried distillers grains per year.
CBOT Holdings, Inc., which is the holding company for the Chicago Board of Trade recently announced that first quarter 2006 revenue rose 23 percent to $143.6 million compared with $116.5 million in the 2005 first quarter. Net income in the 2006 first quarter increased $14.3 million to $35.1 million, up 69 percent compared with $20.8 million in the first quarter of 2005. First quarter 2006 earnings per diluted share were $0.66. First quarter exchange and clearing revenue was $106.4 million, up 21 percent from $87.8 million in the 2005 first quarter. Market data revenue grew 28 percent to $23.6 million in the 2006 first quarter, up from $18.5 million in the 2005 first quarter. First quarter operating income was $58.5 million, up 63 percent from $36.0 million in the same period during the prior year.
In a company press release, CBOT Holdings President and CEO Bernard W. Dan said, “Each product group contributed to the successful financial results this quarter and the Interest Rate, Agriculture, and Metals product groups all reached average daily volume records. The expansion of our operating margin to 41 percent from 31 percent in the comparable quarter last year highlights the effectiveness of our overall business model and strategy. Over the past twelve months we added to our growth opportunities with expanded products, partnerships and distribution capabilities and at the same time controlled costs and significantly expanded our profitability.”
Revenue and earnings in the 2006 first quarter benefited from a January 1, 2006 market data price increase and from an increase in the average rate per contract, which rose 9 percent compared with the same quarter a year ago. The average rate per contract represents total exchange and clearing fee revenue divided by total reported trading volume.
First quarter trading volume was 192.7 million contracts, up 11 percent compared with 173.1 million contracts traded during the prior year’s first quarter. Average daily volume (ADV) in the 2006 first quarter was 3.1 million contracts, up 10 percent compared with the 2005 first quarter ADV. In addition, ADV on the CBOT’s electronic trading platform, e-cbot® powered by LIFFE CONNECT®, during the first quarter rose to 69 percent of total exchange ADV, up from 62 percent in the first quarter of 2005.
First quarter operating expense of $85.0 million includes $19.8 million of volume-based expenses and $65.3 million of non-volume-based expenses. Compared with the prior year’s first quarter, total operating expense grew 6 percent. Baseline and other costs grew only 5 percent during the same time period, a notably slower pace than revenue growth and a major reason for the higher 2006 first quarter operating margin.
June 19, 2006 - Press Release
The Phelps County Development Corporation and Alcorn Energy, LLC are
excited to announce that Alcorn Energy, LLC of Troy, Michigan has filed an air permit application with the Nebraska Department of Environmental Quality to construct an
ethanol plant nine miles west of Holdrege, NE in Phelps County. Alcorn Energy selected
the site from a number of ethanol-ready sites in Nebraska after visiting the site in
February, 2006. The Phelps County Development Corporation and Nebraska Public
Power District hosted the site visit.“This is an exciting development opportunity for Phelps County,” said Scott
Latter, President of the Phelps County Development Corporation. “PCDC has worked
very closely with NPPD and the Nebraska Department of Economic Development to
position Phelps County to attract value-added industries. At the same time, we set our
standards very high. Our Board wanted a company that had a vision and plan for long
term sustainability, environmental quality, with a desire to be a good corporate citizen
and work with local industries. We feel very strongly that Alcorn Energy exceeds those
standards, and we are very excited that they chose to locate their plant in Phelps County.
The positive economic impact to the area will be significant and widespread,” he said.
The site near Holdrege, NE consists of over 200 acres on Highway 23 between
the towns of Loomis and Bertrand. “We are excited about the opportunity to build an
ethanol plant in Phelps County,” said Tom Randazzo, CEO of Alcorn Energy. “The
Phelps County location has all of the features and benefits that we believe are necessary
for the successful operation of our ethanol plant,” he said.
The air permit application is for the construction of a 125 million gallon per year,
dry mill plant which will consume over 40 million bushels of corn per year. Investment
of over $150 million is anticipated and, when operational, the plant will have 40 to 50
employees. The plant will burn coal as its main energy source, with a fully redundant
gas-fired boiler system.
Randazzo said that one of the most important considerations in the site selection
was the abundant corn supply in Phelps County and the surrounding counties. Because
of the large consumption of corn, ethanol plants have a significant impact on the local
agricultural economy. “Local corn supply is very important to us and we are excited to
also announce that Alcorn Energy has formed a strategic alliance with Agri Co-op to
supply all of the corn for our plant operation,” he said.
06.12.06 - The latest EIA fuel ethanol production data indicates that it is full steam ahead. The latest data release, for March 2006, confirmed that another monthly production record was set, with 392.2 million gallons of production. The daily production average was 12.6 million gallons per day. Month ending stocks also increased up to 365.7 million gallons, almost 29 days of supply. The YTD March 2006 production total volume of 1.122 billion gallons was 22.5% above the YTD March 2005 total of 916.8 million gallons. According to the Renewable Fuels Association, there are currently 98 ethanol refineries with over 4.6 billion gallons of capacity, with 35 new facilities under construction and 9 expansions totaling over 2.2 billion gallons per year of capacity. Please go to page eight (8) for full fuel ethanol production statistics.
The national ethanol rack average jumped again last week, climbing an impressive 15.5 cpg, on the way up from 316.3 to 331.8 cpg. The national average for the day last Friday was even higher, coming in at 336.2 cpg.
The Ethanol Market National Reference Rack average in Des Moines, Iowa, increased 16.6 cpg last week, moving from 332.4 up to 349.0 cpg, and the average for the day last Friday was even higher, coming in at 354.0 cpg, with a rack low of 355.0 and a rack high of 362.0 cpg. Most marketers increased rack posting between 2 and 10 cpg late in the week. There was significant trading activity during the past several weeks, with big news of the 400 cpg deal done in the Gulf Coast before the Memorial Day holiday, and even word of a 420 cpg deal done recently. New York Harbor is still in the 350 to 355 cpg range, and California is in the 350 cpg range. Prompt material is at a premium. This is indeed good old fashioned supply and demand market dynamics at play, but fuel ethanol pricing in this range could be damaging to the industry, especially in the E85 markets. Consumers are going to have a hard time accepting significantly higher E85 pricing compared to gasoline, with or without a 10% ethanol blend. The industry has received strong support from Detroit for E85, and recently Wal-Mart announced that they are evaluating offering E85 at their gasoline pumps. High fuel ethanol prices may put some of these plans on hold, until ethanol comes more into balance compared to gasoline.
Ethanol will impact the corn markets this year. The latest USDA report indicates that 78.019 million acres of corn will be planted in 2006. This is 3.74 million less than the planted acreage in 2005, and is the smallest acreage since 2001. Illinois led the way with 700,000 acre (6%) reduction. The reduction was expected, as the United States is coming off a record harvest two years ago, and the second largest crop last year, which increased carryover, and the high inventory pulled the cash markets down. Also, United States corn consumption for the 2005-06 marketing year is expected to be 10.995 billion bushels. Stocks at the end of the year (August 31, 2006) are now projected at 2.241 billion bushels. This will be slightly over 20% of consumption, which compares to 19.8% last year. Although it is quite early, a normal growing season should yield 149 bushels per acre, with harvested acreage of 71.9 million, which would result in a 2006 crop of 10.7 billion bushels of corn.
05.14.06 -The United States fuel ethanol production increased again in February, the last EIA reporting month. The production in February 2006 totaled 8.452 million barrels (354.9 million gallons), with a record setting daily production of 295,000 barrels per day (12.684 million gallons).
The 12.684 million gallon per day average for the month of February 2006, is nearly 5% above January 2006, 18% above the 2005 annual average, and 23% above the February 2005 average.
The ending stocks in February increased from 6.173 million barrels(259.266 million gallons), up to 7.376 million barrels( 309.793 million gallons). According to the Renewable Fuels Association, there are currently 97 ethanol plants, with a combined production capacity of nearly 4.5 billion gallons a year. There are 35 ethanol plants and nine expansions under construction with a combined annual capacity of more than 2.2 billion gallons. Plus, there many other projects that are in the planning, finance and permitting stages. The growth is real, and ethanol supply should not be a problem with respect to the Renewable Fuels Standard (RFS), or oxygenate and octane demand.
Fuel ethanol prices remained steady, even in the face of retreating gasoline and crude oil prices. There was some concern about comments from Energy Secretary Bodman regarding the potential to remove the 54 cpg tariff on imported ethanol. The market was concerned as well, with ADM stock trading last Thursday at $40.33, down 6.9%, even trading early in the day at $39.70. Also, Pacific Ethanol Inc. (PEIX), fell 8.1%, trading recently at $34.50, down $3.08. Earlier in the week, ADM shares set a 52 week high of $43.61, after they reported a 29% increase in first quarter earnings. The company credited strong businesses in soybean and corn processing, including making ethanol, for the gains. However, Ethanol Market believes that the chances of the 54 cpg tariff being removed are very low. It does not make sense for about ten different reasons.
Fuel ethanol prices held their own in the face of the declining crude oil complex, and actually firmed, fueled by strong demand. New York Harbor traded in the low to mid 270's by the end of the week. Chicago traded in a wider band, with deals done in mid 260's to mid 270's cpg. The CBOT closed Monday at 282.5 for the May contract, and 275 and 265 cpg for the June and July contracts.
Houston, and the Texas market appears to be heating up, with stronger demand and increasing logistical challenges. Barge deals were said to be done in the upper 270's
05.06.06 - VeraSun Energy Corporation help a public groundbreaking celebration last Saturday, May 6, 2006, for its for its planned Charles City, Iowa, ethanol facility. The 110 million gallon per year ethanol plant, is in addition to the currently operating 120 million gallon per year ethanol plant in Aurora, South Dakota, and a 110 million gallon per year ethanol plant in Fort Dodge, Iowa VeraSun estimates the plant will employ 50 skilled workers with $2 million in annual salaries.
VeraSun plans to complete construction of the plant by late summer 2007. The plant is being engineered by ICM Inc., of Colwich, Kan., and the general contractor is Fagen Inc., of Granite Falls, Minn.
In a company press release, VeraSun CEO Don Endres said VeraSun is looking forward to enjoying the day with the people who have made this landmark event possible. "Charles City is a great community. We are excited to join the community and want to celebrate the power of partnership with all of those who have had a part in this success."
VeraSun Energy Corporation is a renewable energy company, headquartered in Brookings, S.D. The company operates a 120 million gallon per year ethanol plant in Aurora, South Dakota, and a 110 million gallon per year ethanol plant in Fort Dodge, Iowa. VeraSun is the nation's second-largest ethanol producer.
VeraSun Energy Corporation announced on March 30, 2006, that it had filed with the Securities and Exchange Commission a registration statement to register shares of common stock for sale by the company and selling shareholders in an initial public offering. Morgan Stanley & Co. Incorporated and Lehman Brothers Inc. will serve as the lead managers of this offering, with A.G. Edwards & Sons, Inc. serving as the co-manager. The company is the second largest ethanol producer in the U.S.
The company has two operational production facilities in Aurora, South Dakota and Fort Dodge, Iowa and is constructing a third facility in Charles City, Iowa. The company intends to use the net proceeds from the offering, together with cash generated from operations, to finance construction of two additional ethanol production facilities in the upper Midwest.
A registration statement relating to these securities has been filed with the Securities and Exchange Commission but has not yet become effective. These securities may not be sold nor may offers to buy be accepted prior to the time the registration statement becomes effective.
05-05-06, 2006(Ottowa - Press Release) - Iogen Corporation announced today that Goldman Sachs & Co. of New York has invested $30 Million (CDN) in its renewable cellulose ethanol technology.
"Goldman is the first major Wall Street firm to make a commitment to cellulose ethanol," says Iogen CEO Brian Foody. "Renewable fuels like cellulose ethanol are one of the main options President Bush recently highlighted to reduce America's dependence on foreign oil.
Goldman's investment gives it a minority stake in Iogen, the only company to be operating a demonstration facility that converts agriculture materials like straw, corn stalks, and switchgrass to ethanol. Goldman joins the Royal Dutch/Shell Group as a major investor. The funds will be used to accelerate Iogen's commercialization program.
Cellulose ethanol will allow a much greater expansion of U.S. domestic alternative fuel supply because there is a substantial untapped existing biomass resource.
A joint study by the U.S. Departments of Agriculture and Energy (USDA and DOE) has concluded that the land resources of the US could produce a sustainable supply of biomass sufficient to displace 30% (60 billion gallons of renewable fuel per year) of the country's present gasoline consumption.
Cellulose ethanol is a fully renewable, advanced biofuel that can be used in today's cars. It is one of the most cost effective ways to reduce gasoline consumption and greenhouse gas emissions from automobiles
05.04.06 - Archer Daniels Midland (ADM) announced last week, that its fiscal year third quarter earnings increased 29%, fueled by increased demand for processed oilseeds and ethanol. Share prices rose on the news. ADM shares closed at $41.90 on Tuesday, May 2, 2006, with a 52 week range of $18.37/$42.44, a market capitalization of $27.7 billion, a P/E ratio of 27.28 and a earnings per share (EPS) of $1.55. The current dividend of $0.40 is yielding 1.1%.
Net income increased to $347.8 million, or 53 cents a share, for the three months ended March 31, which was above several analyst projections. One year ago, ADM's third quarter earnings totaled $269.1 million, or 41 cents per share, which included a gain of $74 million, or 11 cents per share, resulting from the sale of its interest in Tate & Lyle PLC.
Sales climbed 8 percent to $9.12 billion from $8.48 billion last year. Wall Street expected $8.67 billion. ADM's operating profit jumped 46 percent to $549 million during the quarter. Profit from oilseeds - or any number of seeds such as rapeseed and cottonseed that can be processed to produce vegetable oil - increased $116 million to $177 million, thanks to improved market conditions across the globe, the company said.
Operating profit in the corn processing division, which includes the manufacturing of ethanol, increased $41 million to $219 million for the quarter. The company also cited improved selling prices for corn starch and sweetener. Archer Daniels Midland, based in Decatur, is among the biggest processors of soybeans, corn, wheat and cocoa and produces soy meal and oil, biodiesel, ethanol, corn sweeteners and flour, with more than 250 processing plants and more than 26,000 employees worldwide.
In other news, ADM recently announced that Patricia A. Woertz has been selected as President, Chief Executive Officer and member of the Board of Directors, succeeding G. Allen Andreas, who remains as Chairman of the Board. Woertz, 53, most recently was Executive Vice President of Chevron Corporation, in charge of the oil company's "downstream" operations, including refining, marketing, lubricant, supply and trading businesses in 180 countries, with more than $100 billion in annual revenues and a global workforce of 30,000. Chevron is one of the world's leading energy companies, and Woertz was one of the highest-ranking executives in the energy industry. In a company press release, Andreas said "Pat Woertz is a proven executive with an exceptional blend of strategic, analytic, business and leadership skills." "Her selection was endorsed unanimously by our Board of Directors, and we are confident that she is the ideal person to sustain ADM's strong performance and lead the Company into the next chapter of its history."
Additional ADM news and information can be viewed on their website, www.admworld.com
05.01.06 - Iogen Press Release
IOGEN GETS BOOST FROM GOLDMAN SACHS
Wall Street firm invests $30 million in cellulose ethanol leader
Ottawa - Iogen Corporation announced today that Goldman Sachs & Co. of New York has invested $30 Million (CDN) in its renewable cellulose ethanol technology. .
"Goldman is the first major Wall Street firm to make a commitment to cellulose ethanol," says Iogen CEO
. "Renewable fuels like cellulose ethanol are one of the main options President Bush recently highlighted to reduce
's dependence on foreign oil.
Goldman's investment gives it a minority stake in Iogen, the only company to be operating a demonstration facility that converts agriculture materials like straw, corn stalks, and switchgrass to ethanol. Goldman joins the Royal Dutch/Shell Group as a major investor. The funds will be used to accelerate Iogen's commercialization program.
Cellulose ethanol will allow a much greater expansion of
domestic alternative fuel supply because there is a substantial untapped existing biomass resource.
A joint study by the U.S. Departments of Agriculture and Energy (USDA and DOE) has concluded that the land resources of the
could produce a sustainable supply of biomass sufficient to displace 30% (60 billion gallons of renewable fuel per year) of the country's present gasoline consumption.
Cellulose ethanol is a fully renewable, advanced biofuel that can be used in today's cars. It is one of the most cost effective ways to reduce gasoline consumption and greenhouse gas emissions from automobiles.
04.20.06 - The fuel ethanol markets moved again last week, with spot deals done in New York in the mid 270's cpg range, with a deal reported done at 278 cpg. As we have been reporting, the major refiners will be withdrawing MTBE from many markets in early May. The retreat from the marketplace will put pressure on ethanol and other octane contributors.
Additionally, there will continue to be a strong price pull based on wholesale gasoline prices, which continues to explode. Spot New York Harbor prices for regular unleaded surged all of last week, with another 6 cpg jump on Monday, trading over 228 cpg. The spot price for unleaded premium in New York Harbor hit an amazing 257 cpg on Monday.
The unleaded regular wholesale price last Friday in Houston increased 8.1 compared to the previous Friday, up to 236.6 cpg. This is 84.6 cpg above the same period previous year. The Chicago unleaded regular wholesale price moved up 10.1 last week, increasing to 227.6 cpg, which is 73.2 cpg higher than the same period last year. With spot wholesale prices in this range, and NYMEX gasoline on the move as well, ethanol has no place to go but up. With New York spot ethanol in the mid 270 range, and spot gasoline at 228 cpg, the spread is around 47 cpg. The Chicago Board of Trade near month ethanol contract closed at 272.5 cpg on Monday, adding transparent confirmation of the increasing prices.
Pricing in Houston traded in the low/mid 260's cpg range, which backs to a low/mid 250 FOB Midwest price. Even these numbers are under increased pressure, with New York pulling material at higher net FOB prices, which pressures spot deals for Chicago. As always, the market fractionation, based on geography and mode of transportation, is wide and varied. Although rack prices increased again, with the National Average moving up 4.5, from 240.2 to 244.6 cpg last week, some spot trucks deals in the Midwest traded lower than this range. The National Rack Average for the day last Friday was even higher, coming in at 247.6 confirming the trend for higher prices. Rack numbers always lag market activity, on both sides of the equation. Meanwhile, with increasing market prices in the United States, the arbitrage should open for more Brazilian, or even some Chinese material. However, Brazil, prompted by delays in the current crop production, high domestic demand, and short inventory positions, may be waiting for the next round of United States ethanol increases, which no doubt will come. Brazil recently removed import duties, and are reviewing all new export permits. Meanwhile, Brazilian prices closed down last week, with anhydrous fuel trading in the 213 cpg range (down 2 cpg), hydrous fuel ethanol trading in the 199 cpg range (down 7 cpg) and hydrous industrial trading in the 229 cpg range (down 9 cpg). Fuel ethanol imported into the United States has a 54 cpg tariff, plus a 2.5 % ad valorem tax. CBI ethanol is imported tariff free. Industrial ethanol is imported tariff free, but the ad valorem tax does apply.
So, add the 54 cpg to anhydrous fuel ethanol, or the 2.5% to industrial ethanol, and you really have to crunch the numbers to make anything work. Plus, Brazil needs to keep the domestic part of equation happy, and with skyrocketing crude oil and gasoline prices, ethanol prices will remain high in Brazil for the balance of the year.
04.17.06 - Pulled by octane demand, and supported by record crude oil and gasoline prices, fuel ethanol prices continue to increase. For full details, please subscribe to the Ethanol Market Weekly News and Market Report.
04.03.06 - US BioEnergy, announced plans to construct North Dakota's largest ethanol plant near Hankinson, N.D. Contingent on zoning, permitting and tax incentives, US BioEnergy, which has partnered with Gold Energy, LLC, intends to construct a 100 million gallon per year ethanol plant on this site. A plant this size will consume approximately 37 million bushels of corn and will produce 320,000 tons of distiller's grain annually. The $145 million project will employ an average of 150, and up to 300, workers during the construction phase. When fully operational, the facility will employ 40 to 45 full-time workers with an annual payroll of $2.4 million. "By partnering with US BioEnergy, we are joining a team of ethanol experts that can get our plant off the ground quickly," said Terry Goerger, a member of Gold Energy, LLC. "Once we're operational, there will be a local board with representatives from this area offering leadership to this plant. We like that about this company; they have Midwest roots, just as we do, and they know how to get a plant up and running." CHS, one of the nation's largest farmer-owned cooperatives, owns a 24 percent share of US BioEnergy. The business investors will benefit from a 30 percent state investment tax credit and an exemption on state sales tax for new equipment and construction materials. The company also qualifies for the state Ethanol Production Incentive program, which provides a safety net for ethanol producers. The State of North Dakota has also made assistance available to the project through the Department of Commerce and the Bank of North Dakota. These include the Commerce Department's Development Fund, New Venture Fund, and Agricultural Products Utilization Commission, as well as BND's MATCH and PACE programs. The North Dakota Department of Transportation has assisted with transportation planning and road improvements
Market Update - March 25, 206 -The Chicago Board of Trade moved around in the low 240 cpg range last week, before moving down 3 cpg, to 239 cpg on Monday, March 20, 2006. The contact has become increasingly active since it first launched in April 2005. The futures volume in March 2005 totaled 119 contract, and during the next ten month, volume totaled 222, 51, 145, 321, 227, 390, 539, 269, 390 and 509 contracts in February 2006. The contract has traded in a tight range compared to the Chicago spot market pricing.
Rationale, statistics, regression analysis, and comparative analysis to gasoline or corn, really does not help much when predicting/forecasting future fuel ethanol prices. Pricing seems to be more a factor of supply/demand balances, ethanol plant location, on site inventory capability, containers (tank truck, railcar or barge), with regional influence. Therefore, as markets soften a bit, the infrastructure in place allows for a wide range of pricing. The general trend this past week is lower pricing to motivate near term sales. However, significant premiums still remain on forward pricing, fueled by supply concerns in the spring, due to the MTBE retreat and gasoline reformulation.
Chicago spot traded in the low to upper 230 cpg range last week. At the same time, truck prices in the Midwest maintained a wide range, trading in 210 to 250 cpg, depending on volume and location. The national rack price average dropped 7.7 cpg last week, moving from 252.7 down to 245 cpg. However, rack prices on Monday ranged from 257.3 in St. Louis, MO, 251.0 cpg in Milford, OA, and 252.1 cpg in Aberdeen, NE, down to 226.2 in Doniphan, NE and 225.4 cpg in Peoria, IL.
ATCHISON, Kan., March 16, 2006?The Board of Directors of MGP Ingredients, Inc. (Nasdaq/MGPI) has approved plans for an $11.1 million capital project that is expected to improve production efficiencies and fulfill air emission control requirements at the company's Pekin, Ill., distillery.
The project will involve the purchase and installation of a new dryer system for the manufacture of distillers feed, the principal by-product of the alcohol production process. The new dryer system has been under consideration for some time and is expected to result in cost savings related to energy usage and maintenance needs. It also will permit the company to meet Environmental Protection Agency requirements in a recently filed consent decree. The company chose the dryer over less costly alternatives because of the improved plant efficiencies it is expected to provide.
"Essentially, we will be replacing older, less efficient equipment with a state-of-the-art system that should provide us with multiple benefits and a relatively quick payback on our investment," said Ladd Seaberg, president and chief executive officer.
Randy Schrick, vice president of manufacturing and engineering, added that "We should realize solid cost savings over the long-term depending on variations in future natural gas prices and anticipated reductions in distillery maintenance and repair costs." The new equipment should also "enable us to better optimize our fixed assets while strengthening our ability to meet needs in the marketplace," he said.
Work on the dryer project is expected to commence this summer and be completed by the fall of 2007. As previously announced, a similar improvement to distillery operations as the company's Atchison plant was completed this past fall.
Lansing Grain Company, LLC and Macquarie Bank Limited Announce Creation of Ethanol Marketing Company, Lansing Ethanol Services, LLC
02.20.06 - Overland Park, KS--Lansing Grain Company, LLC and Macquarie Bank Limited announced Feb. 16 the formation of Lansing Ethanol Services, LLC. The new company is a joint venture between Lansing Grain Company, LLC and an indirect wholly owned subsidiary of MBL, Macquarie Americas Corp. LES will provide ethanol marketing services for ethanol producers, actively trade physical ethanol and will work to develop synergies between a leading commodity focused financial institution and a progressive trading company. Lansing Grain Company's team of experienced professionals has developed a solid reputation in the trading of physical ethanol, corn and distillers' grains. This business initiative will move Lansing's rapidly growing ethanol trading activity to Lansing Ethanol Services, positioning it well for future growth. Macquarie's Commodity Markets Division, with substantial experience and activities across a range of US agricultural commodity and energy markets, will provide strategic risk management products for ethanol producers. C
ombining this expertise with knowledge of the physical ethanol market and logistics capabilities of Lansing Grain Company, LES will create many appealing services for both ethanol producers and ethanol blenders. "This joint venture is a natural extension of Macquarie's focus on the commodity sector. "Our experience in commodity risk management and project finance will be greatly complemented by Lansing's physical expertise in the grain and ethanol markets," said Michael Allison, Division Director within the Commodity Markets Division of Macquarie. "Lansing Ethanol Services looks forward to offering both existing and new clients the benefits that this combination of physical and financial know-how will offer," he said. "Lansing has worked very hard to establish itself as a significant player in the ethanol trading space, building on our strong history in agricultural commodities. "We are delighted to enter into this joint venture with Macquarie, who has shown from the beginning of our relationship that they understand this space and have a desire to participate in the rapidly growing ethanol industry," said Bill Krueger, President and CEO of Lansing Grain Company. "We see this business as having the ability to provide stability and financial strength to a volatile business dominated by commodity risk," he said. Lansing Ethanol Services expects to commence operation on the March 1, 2006, with the business headquartered in Overland Park, KS.
02. 17.06 - US BioEnergy to Acquire Platte Valley Fuel Ethanol
Brookings, SD--US BioEnergy Corporation (US BioEnergy) announced Feb. 15 it has entered into a letter of intent with the majority owner to acquire Platte Valley Fuel Ethanol (Platte Valley), located near Central City, NE. Platte Valley is currently undergoing an expansion and will double its level of production by the end of this year. "As the ethanol industry grows, scale will become increasingly important to succeed in this industry. "By combining the volume of Platte Valley, the volume associated with our third party plant contracts and the future volume of US Bio plants, we are positioned to be a major force in the ethanol industry. "We are excited to have Platte Valley as a part of our team and will benefit from their experience and expertise," said Gordon Ommen, CEO of US BioEnergy Corporation. Currently US BioEnergy has two plants under construction: US Bio Albert City, a 110 million gallon per year (mgy) plant in Iowa scheduled to be on-line in November 2006 and US Bio Woodbury, a 45 mgy plant in Michigan, scheduled to begin production in October of 2006. US Bio Janesville, a 110 mgy plant located in Minnesota is in the permitting phase and will begin construction sometime this summer. With Platte Valley, this would bring US BioEnergy production to approximately 250 million gallons per year by the end of 2006.
Ron Fagen, majority owner of Platte Valley, stated, "This will be a good thing for Platte Valley and a good thing for US BioEnergy. "I'm excited about bringing these two quality ethanol companies together. "Everyone will benefit from this -- Platte Valley shareholders, US Bio shareholders and it's great for the industry."
02.16.08 The Andersons, Inc. Receives Air Permit Approval for Clymers, IN Ethanol Plant. Maumee, OH--The Andersons, Inc. announced Feb. 15 it has received approval for an air permit from the Indiana Department of Environmental Management for the ethanol facility in Clymers, IN. Financial closing for the facility is expected soon. "We are very pleased we are one step closer to begin construction on the Clymers ethanol facility," says President and CEO Mike Anderson. "When completed in the first quarter of 2007, the facility will have a capacity of 110 million gallons and will be the largest of its kind east of the Mississippi River." The ethanol plant will be owned and operated by The Andersons Clymers Ethanol LLC. The Andersons, Inc. will be the lead equity investor in the facility and, in addition to managing the facility, will provide grain origination, ethanol marketing, risk management and other services.
02.13.06 - ATCHISON, Kan., February 9, 2006?MGP Ingredients, Inc. (Nasdaq/MGPI) today reported net income of $818,000, or $0.05 per common share, for the second quarter, which ended December 31, 2005. This compares with net income of $1,354,000, or $0.08 per share, for the second quarter of fiscal 2005. Net sales in the current year's second quarter totaled $75,671,000, an increase of 24 percent above net sales of $61,164,000 in the prior year period. The improvement in total revenue compared to a year ago resulted from increased sales in both the distillery products and ingredients segments. Distillery products sales rose by nearly $11.4 million, or 27 percent, above sales in the second quarter of fiscal 2005. Sales of ingredients in total were up approximately $3.2 million, or 17 percent, compared to last year's second quarter.
"Although we experienced a decline in second quarter earnings compared to a year ago, we see favorable conditions taking shape, particularly in our distillery products segment, that should result in improved profitability during the remainder of the year," said Ladd Seaberg, president and chief executive officer.
02.10.06 - ADM Selects Columbus, NE as First Location for Ethanol Expansion
Decatur, IL--Archer Daniels Midland Company announced Feb. 9 that it has selected Columbus, NE as the first location for its ethanol capacity expansion.
The Company will build a dry corn milling plant with an initial annual capacity of 275 million gallons adjacent to the existing ethanol plant in Columbus.
"Ethanol and other biofuels are an increasingly important part of the world's energy supply, especially as the world's energy needs continue to grow," stated Edward A. Harjehausen, ADM Senior Vice President-Corn Milling and BioProducts. "ADM is well-positioned to meet the nation's growing demand for ethanol, a renewable and cleaner-burning biofuel that helps reduce pollution and toxins." In September, ADM previously announced that it planned to expand ethanol capacity by 500 million gallons through the addition of two dry milling plants at existing ADM ethanol facilities. Construction, expected to be complete in early 2008, is subject to applicable governmental approvals.
02.09.06 - Ag Secretary Johanns Joins List of Renewable Fuels Association National Ethanol Conference Speakers. The list of distinguished guests addressing the 11th Annual National Ethanol Conference in Las Vegas February 20-22 became even more illustrious today as U.S. Department of Agriculture Secretary Michael Johanns accepted an invitation to address the conference on Wednesday, February 22.
"We are honored to welcome Secretary Johanns to the NEC and look forward to hearing about the future of renewable fuels at USDA," said Renewable Fuels Association President Bob Dinneen. "The participation of Secretary Johanns and Administrator Johnson underscores the commitment the Bush administration has made to increasing America's production and use of renewable fuels. The impressive list of presenters at this year's conference promises an exciting and informed discourse about the U.S. renewable fuels industry."
The National Ethanol Conference will be held February 20-22 at the JW Marriott Resort & Spa in Las Vegas, Nevada. The two-day event will feature addresses by industry leaders and influential policy makers, panel discussions on the issues facing today's ethanol industry, and an opportunity to network with colleagues in the industry. Additional information and a conference agenda are available at www.nationalethanolconference.com. Media wishing to attend should register with Matt Hartwig at email@example.com.
Featured speakers and presentations at the National Ethanol Conference include:
Tuesday, February 21:
"State of the Industry Address," by RFA President Bob Dinneen
"The Devil is in the Details," implementing the historic Renewable Fuels Standard
U.S. Representative Stephanie Herseth (SD)
"The End of Oil," by author Paul Roberts
EPA Administrator Steve Johnson
U.S. Senator Tim Johnson (SD)
ExxonMobil Vice President Dan Nelson
Wednesday, February 22:
Governor's Ethanol Coalition Chair Governor Kathleen Sebelius (KS)
USDA Secretary Michael Johanns
Governor Dave Heineman (NE)
"The Virtual Pipeline," transportation logistics for today's ethanol market
"An Active Ethanol Futures Contract," a look at ethanol trading on CBOT
For more information, visit the Renewable Fuels Association website at: www.ethanolRFA.org
02.09.06 - LAKOTA, Iowa: Midwest Grain Processors LLC, a Lakota, Iowa, based ethanol company, has begun operating a recently-completed plant expansion, which brought the total plant capacity to nearly 100 million gallons of ethanol annually.
MGP's original plant, which was producing nearly 50 million gallons of ethanol each year, began operations in December 2002. The recent expansion was a 14-month project that doubled the plant's total output.
Lurgi PSI was design-builder for the expansion, which utilized an estimated 9 miles of pipe, 24 miles of electrical and instrument cable, 600 tons of structural steel, 5,000 yards of concrete, 1,000 tons of reinforcing steel, and seven field fabricated vessels with a combined capacity of more than 3.5 million gallons. About 200,000 man-hours of labor will go into the finished product.
Work also is expected to be completed by Feb. 20 on construction of an additional one million bushels of grain storage to serve the expanded plant.
"With this completed expansion, MGP is able to capture a larger share of the growing ethanol market for its farmer-owners, while also providing a stronger market for corn grown in north-central Iowa," said Dave Nelson, MGP LLC board chairman and a Belmond, Iowa, farmer. "This is one step in MGP's commitment to growth and becoming an industry leader."
Midwest Grain Processors LLC is quickly becoming one of the country's largest farmer-owned producers of ethanol. In addition to the Iowa facility, MGP is currently building a 57 million gallon plant in Lenawee County, Mich.
MGP LLC is controlled by:
- Midwest Grain Processors Cooperative, a farmer-owned cooperative with nearly 1,300 farmer members in 11 Midwestern states, and
- Great Lakes Ethanol LLC, Blissfield, Mich., which has more than 300 members; nearly 98 percent are Michigan farmers.
(Midwest Grain Processors Cooperative and Great Lakes Ethanol LLC together own approximately 97% of MGP, LLC.) MGP LLC is operated and managed by Coltivare LLC, an independently owned firm providing administrative, management and marketing services to ethanol plants. This release contains discussion of some of our expectations regarding Midwest Grain Processors, LLC's future performance. These forward-looking statements are based on our current views and assumptions. Actual results could differ materially from these current expectations and projections, and from historical performance.
02.07.06 - Spot prices for fuel ethanol climb to the 260 to 270 cpg range. Product is tight, and there is much concern over gasoline, ethanol and blendstock supply this summer. Please subscribe to the Ethanol Market Weekly News and Market Report for full details.
02.02.04 - The Chicago Board of Trade ethanol contract traded nearly 90 contracts yesterday, which is quite active. The near month contact closed at 250 cpg, with 22 trades. Each contract is for a railcar, 29,000 gallons, for delivery to Chicago.
01.22.23 - Fuel ethanol futures and spot prices have jumped above the 250 cpg range. Product is tight, as marketers scramble for MTBE replacement.
01.10.06 - USDA Report -Corn stocks in all positions on December 1, 2005 totaled 9.81 billion bushels, up 4 percent from December 1, 2004. Of the total stocks, 6.33 billion bushels are stored on farms, up 3 percent from a year earlier. Off-farm stocks, at 3.49 billion bushels, are up 5 percent from a year ago. The September - November 2005 indicated disappearance is 3.41 billion bushels, compared with 3.31 billion bushels during the same period last year.
01.03.06 - Governor George E. Pataki recently announced a major initiative to increase the production of biofuels in New York State, part of a comprehensive plan to develop and expand markets for ethanol and other biofuels, and help reduce our dependence on foreign energy sources. Under an Executive Order issued by the Governor, all State agencies and public authorities will be required to increase their purchase and use of biofuels for heating their facilities and fueling their vehicles. The proposal also is expected to provide a boost to farmers in New York State who will see an increased market for feedstocks used in biofuel production. "New York has an opportunity and an obligation to reduce our dependence on unstable foreign energy supplies, and we can begin to achieve this by boosting the production of homegrown biofuels," Governor Pataki said. "High energy prices have significantly impacted families and businesses across the Empire State, and have clearly shown our vulnerability to forenergy dollars here in New York. "The Empire State is a national leader in the promoting
Soybeans stored in all positions on December 1, 2005 totaled 2.50 billion bushels, up 9 percent from December 1, 2004. Soybean stocks stored on farms totaled 1.35 billion bushels, up 3 percent from a year ago. Off-farm stocks, at 1.16 billion bushels, are up 15 percent from last December. Indicated disappearance for September - November 2005 totaled 840 million bushels, down 10 percent from the same period a year earlier.
All wheat stored in all positions on December 1, 2005 totaled 1.43 billion bushels, down slightly from a year ago. On-farm stocks are estimated at 513 million bushels, down 3 percent from last December. Off-farm stocks, at 917 million bushels, are up 2 percent from a year ago. The September - November 2005 indicated disappearance is 494 million bushels, down 3 percent from the same period a year earlier.
the use of renewable fuels, but we must continue to work to increase our use of alternative energy sources and strengthen our economy," the Governor said. "With this initiative, I am calling on State agencies and authorities to set higher standards for using renewable energy, which will help to spur investments in biofuel production and make New York a pioneer in this emerging energy industry." Under the Executive Order, state agencies and public authorities will be required to purchase and utilize biofuels for use in boilers, heating/cooling plants, and in their motor vehicle fleets. The Order mandates that by 2012, at least 5 percent of the heating fuel used in State buildings will be biodiesel, a biodegradable fuel made from agricultural products. In addition, by 2007, at least 2 percent of fuels used in the State fleet must be biodiesel, with this percentage rising to 10 percent in 2012. The Governor's Clean Fueled Vehicle Council also will develop and implement plans to increase the number and accessibility of ethanol refueling stationseign energy sources.
12.15.05 - On December 15, 2005, the President of the Canada Border Services Agency (CBSA) made a preliminary determination of dumping and subsidizing respecting unprocessed grain corn, excluding seed corn (for reproductive purposes), sweet corn, and popping corn, originating in or exported from the United States of America, pursuant to subsection 38(1) of the Special Import Measures Act (SIMA). Provisional duty will now be payable on the subject goods that are released from Customs on or after December 15, 2005. On the same date, the President terminated the dumping and subsidy investigation with respect to processed grain corn from the United States of America, pursuant to paragraph 35(2)(a) of SIMA, as a result of the decision by the Tribunal that the evidence did not disclose a reasonable indication that the dumping or subsidizing of processed grain corn was causing or was threatening to cause injury. Briefly stated, processed grain corn results from dry milling operations that separate or remove constituent parts of the whole kernel corn.
The result is that the CBSA has imposed a provisional anti-dumping duty in the amount of US$0.58 per bushel and provisional countervailing duty in the amount of US$1.07 per bushel. That makes a total duty of US$1.65 per bushel
12.12.05 - Several months ago, Biofuel Solutions announced plans for a 110 million gallon per year ethanol plant in Fairmont, Minnesota, and now they have announced plans for another 110 million gallon facility in Wood River, Nebraska, which is about 100 miles west of Lincoln, Nebraska. The company expects to begin construction in the first quarter of 2006. The new facility will have an exclusive relationship with Cargill for certain services, including corn procuremnt, and markting the ethanol and DDGs.
or approximately CDN$75.00/mt
12.05.05 - With new financing in place, Gateway Ethanol, LLC, formerly Wildcat BioEnergy, could start construction early next year.. The new name is due to a change in the financial backing of the project. The $85 million, 50 million gallon facility will be in Pratt, Kansas, and will use 18 million bushels of corn per year.
Richard Jarboe, chief executive office of Gateway Ethanol LLC, said that due diligence is 90% complete, and the final engineering will be compete in 60 to 70 days. Kansas ships most of it 150 million gallons of ethanol production out of the state, using only 7 million gallons within the state. Kansas demand is expected to significantly increase in 2006 and 2007. The state recently approved the removal of the "Ethanol Warning Labels" at the pump.
11.27.05 - The Energy Information Administration (EIA) reported the September fuel ethanol numbers, and once again, record production numbers were posted, with a 10.962 million gallon per day daily average, up slightly above the 10.920 record set in August 2005. The YTD September 2005 total production volume is 2.842 billion gallons, which is a 4.263 billion gallon annual rate. The first year of the RFS, 2006, has a 4.0 billion gallon ethanol mandate. The Energy Bill calls for a 7.5 billion gallon ethanol usage by 2012. So, currently production capacity is already exceeding the 2006 standard, and will no doubt exceed the standard for each of the next six years. The fuel ethanol stocks ending September 2005 (see the Fuel Ethanol Production chart analysis on page 12) totaled 223.6 million gallons, which is about 68% of production and sales, representing just over 20 days of sales. By the end of this year, over 1.0 billion gallons of fuel ethanol capacity will be under construction. According to the Renewable Fuels Association, there currently 93 ethanol plants in 23 states, with over 4.2 billion gallons of capacity. There are another 23 ethanol plants and 7 expansions under construction with over 1.0 billion gallons of capacity.
11.20.05 - Archer Daniels Midland (ADM) recently announced net earning for the quarter ending September 30, 2005, decreased to $186 million, $0.29 per share, compared $266, $0.41 for the same period last year. Net segment operating profit increased 3% to $351 million, up from $339 same quarter last year. Click on the following link for the full ADM press release. ADM Fiscal Q1 Results
11.17.05 - ST. PAUL, Minn. (Nov. 17, 2005) - CHS Inc., one of the nation's leading energy, grain-based foods and supply companies, announced today it has acquired about 28 percent ownership in US BioEnergy Corporation, an ethanol production and marketing firm.
"As both a grain and energy company, with historic involvement in renewable fuels marketing, we believe this is an excellent opportunity for CHS and its member-owners to increase our role in this business," said John Johnson, CHS president and chief executive officer. "By investing in US BioEnergy, CHS becomes part of an organization that already is making great strides in the biofuels industry and has a clear strategic vision. Full Story
11.15.05 - Brazil, the world's biggest producer of sugar, has proposed building a plant in the Caribbean island of Jamaica to make ethanol from sugar cane so the fuel can be exported to the U.S. free of duty. Brazil's state development bank has offered to finance Coimex Trading Co., the largest Brazilian-owned commodities exporter, and Aracatu, a Brazilian sugar producer, to build the ethanol distillery and invest in Jamaica's state-owned sugar industry. Full Story
11.10.05 - Cargill announced that they will add a 110 million gallon per year ethanol plant at the Blair corn processing complex, increasing the total United States ethanol capacity to 230 million gallons per year.
11.05.05 - Ford Motor Company announced last Friday that is working with VeraSun Energy Corp,, based in Brookings, South Dakota, to convert fuel pumps to E85 ( 85% ethanol/15% gasoline). There are lsess than 500 of the 180,000 fuel stations in the United States that offer E85. Ford will also initiate a consumer awareness campaign about the benefits of ethanol.
10.27.05- The Iowa Renewable Fuels Association (IRFA) announced Oct. 28 that Iowans chose ethanol 75% of the time in September according to newly released Iowa Department of Revenue figures.
This is a small increase over August when ethanol blends accounted for 74% of Iowa's gasoline sales. The all-time high for ethanol sales was in June when 78% of gasoline sold was blended with ethanol. "With E10 (10% ethanol blend) averaging 10 cents per gallon less than straight gasoline, it's no surprise that ethanol sales remain strong in Iowa," stated Monte Shaw, IRFA's Executive Director. "The only real question is why ethanol isn't blended into every gallon of Iowa's gasoline considering it's the best bargain in motor fuels today.
"With 26 ethanol plants operating or under construction, Iowa is the nation's leader in producing the renewable fuel." The Iowa Renewable Fuels Association was formed in 2002 to represent the state's ethanol and biodiesel producers.
The trade group fosters the development and growth of the renewable fuels industry in Iowa through education, promotion, legislation and infrastructure development.
10.19.05 - Husky Energy announced October 27 that it will proceed with the construction of a major ethanol facility on the site of its existing plant at Minnedosa, Manitoba. The new plant, to be constructed at an estimated cost of $145 million, will have a production capacity of 130 million litres of ethanol per year. The plant will replace the existing 25-year-old, 10 million litres per year facility, and is scheduled to be fully operational during mid-2007. The new Minnedosa plant will be Husky's second major ethanol facility in Western Canada.
The Company is currently building a 130 million litres per year facility adjacent to its heavy oil upgrader at Lloydminster, Saskatchewan. The Lloydminster plant is anticipated to be operational in the second quarter of 2006.
The new plant will utilize about 350,000 tonnes of wheat per year to produce 130 million litres of ethanol and approximately 126,000 tonnes of Distillers Dried Grains with Solubles (DDGS), a high protein, non-animal based livestock feed.
10.19.05 - Marquis and Aventine Announce Venture: Marquis Inc. President, Mark Marquis, and Aventine Renewable Energy, Inc. President, Ron Miller, have announced the signing of a joint "Letter of Intent" to cooperate on the development of a plan for a fuel ethanol plant to be located near Hennepin, Illinois. The plant would have annual production capacity of 100 million gallons of fuel grade ethanol and 320,000 tons of dried distillers grain (DDGS). The plant would use locally grown corn as a feedstock and consume 36 million bushels annually. The increased local corn demand would add approximately five to seven cents per bushel to the average price of corn paid to local growers. The plant would employ over fifty local residents. The site of the proposed plant is on 120 acres in Putnam county approximately 1½ miles north of the village of Hennepin. Property rights, barge, rail and utility access are in place. Additionally, a building permit, enterprise zone and appropriate zoning have been acquired. Ron Miller noted the Hennepin site, with an eastbound railroad and barge shipping capabilities, will be able to cost effectively serve Aventine's emerging East Coast and U.S. Gulf ethanol demand. Marquis Inc. is a local business developer with experience in grain elevators, barge terminals and dry cargo and liquid shipping by rail and barge. Aventine Renewable Energy, Inc. is the second largest producer and marketer of ethanol in the United States.
10.18.05 - BROOKINGS, S.D. (October 18, 2005) - US BioEnergy Corporation ("US BioEnergy") announced plans today to build Minnesota's largest ethanol plant in Waseca County near Janesville. The Brookings, S.D.-based company secured a site along the Dakota, Minnesota and Eastern Railroad and the new alignment for U.S. Highway 14.
US BioEnergy CEO Gordon Ommen said "We are looking forward to getting to know the people of the Janesville area. The County Commission has been great to work with and we appreciate the support that we have received from them. We are excited about becoming part of this community and we are looking forward to a long lasting partnership."
Once completed, the US Bio Janesville plant will employ around 40 people and will annually produce 100 million gallons of ethanol and 320,000 tons of distiller's grains. It will process approximately 37 million bushels of corn per year, the vast majority of which will come from within a 40-mile radius of the plant.
US BioEnergy has two plants currently under construction: US Bio Albert City, a 100 mgy plant in Iowa and US Bio Superior Corn, a 45 mgy plant near Woodberry, Mich. and continues to seek additional sites. "We are excited to expand the ethanol industry. Ethanol is one key to lessening our dependence on foreign oil and is a great way to spur rural economies. We like that combination," states Ommen.
09.30.05 - Aventine Renewable Energy Inc., Pekin, Illinois, plans on expanding ethanol production at it facility in Pekin. The 56.5 million gallon capacity expansion will bring the the total capacity up to 160 million gallons per year, and will be completed by early 2007. "We're excited about the prospects of the ethanol industry and we're excited to move this plant along," said Ronald Miller, president and CEO of Aventine.
09.25.05 - The United States fuel ethanol industry set an all time production record for July 2005, with a daily average of 10.836 million gallons per day, for a total of 336.294 million gallons for the month. The previous record was 10.459 million gallons per day, set in June 2005. Production was up over 18% compared to the same period last year. The 2005 year-to-date fuel ethanol production totals 2.175 billion gallons, which is a 3.720 billion gallon annual rate. Stocks ending July were down for the fourth month in a row, coming in at 245.616 million gallons, which confirms the tightness in the marketplace. For full fuel ethanol marketplace news, information and analysis, please subscribe to the EthanolMarket.com, Weekly News and Market Report
09.23.05 - Archer Daniels Midland Company ( ADM ) plans to expand ethanol capacity by 500 Million Gallons. The company announced September 21, 2005, plans to expand ethanol capacity by 500 million gallons through the construction of two new dry corn milling facilities. The facilities will be located adjacent to the Company's existing ethanol plants. Construction, expected to be complete in early 2008, is dependent on final engineering and permit approval. ADM currently has seven ethanol plants with one in each of the following cities: Peoria, IL; Decatur, IL; Cedar Rapids, IA; Columbus, NE; Walhalla, ND and Marshall, MN. The location of the two new dry corn milling facilities has yet to be announced.
09.21.05 - The Panda Group, with headquarters in Dallas, TX, announced this week that it plans to build a 100 million gallon ethanol facility in Haskell County, KS. This will be the largest ethanol plant in Kansas, more than double the size of all current existing facilities. Panda will use cattle manure from the nearby feedlots, as fuel to fire the boilers. Construction will take one year, with a start up expected in late 2006. This is the third Panda ethanol project, and they plan on a total of 8 ethanol facilities.
09.20.05 - The Chicago Board of Trade (CBOT®) announced today that the Exchange has renewed its agreement with Noble Americas Corp., for Noble Americas to serve as market maker for the CBOT Ethanol futures contract. Under the terms of the agreement, Noble Americas will continue to provide two-sided trading in CBOT Ethanol futures. Launched on March 23, 2005, the CBOT Ethanol futures contract is designed to meet the growing demand for an effective vehicle for price discovery and the management of price volatility within the domestic ethanol market. CBOT President and CEO Bernard W. Dan said, "The CBOT is extremely pleased with Noble Americas' renewed commitment to the Exchange's Ethanol futures contract. The firm's continued participation bolsters the contract's credibility as the ethanol industry's pricing benchmark, an important point of reference for prices among ethanol producers and consumers. Last week's open interest record for the contract equates to about 7.5 million gallons of ethanol."
click here for full CBOT Press Release
09.16.05 - Biofuels Solutions and Cargill to Build 100 Million Gallon Ethanol Plant in Fairmont, MN
Fairmont, MN--Biofuel Solutions, an ethanol plant development company, is in the advanced planning stages for construction of a state-of-the-art 110 million-gallon-per-year ethanol plant to be located in Fairmont, MN. The company would have, pending appropriate approvals, an exclusive relationship with Cargill to provide certain services to the plant. The facility would be co-located adjacent to the local Cargill Ag Horizons grain elevator. The plant would source corn from Cargill's elevator, which has been in operation since 1973 (owned by Cargill since 1996) and which has historically shipped corn to the export market.
It is expected that the plant would also work with local elevators to procure the 41 million bushels of corn to meet production requirements. In addition to producing ethanol, the plant is expected to produce more than 375,000 tons of dry distiller grain for animal feed annually. Biofuel Solutions is currently evaluating the site and plans further investment in part based on the nearby railway and highway systems, including access to mainline rail, and strong community support.
The City of Fairmont is working with Biofuel Solutions to confirm the proposed plant meets all required environmental ordinances, state and federal laws.
All environmental permits required for construction have been filed and are pending approval from the Minnesota Pollution Control Agency. Delta-T/TIC Alliance, which built the Corn Plus ethanol plant in nearby Winnebago, MN, has been selected to build and provide technology for the facility.
Biofuel Solutions expects to begin construction in the first quarter of 2006. Beyond creating demand for up to 41 million bushels of corn, the plant is expected to create approximately 50 full-time jobs. Biofuel Solutions plans to hire locally.
Project Manager JonAlan Page, a vice president with Biofuel Solutions, stated, "we have been impressed by the business friendly atmosphere that we have encountered thus far and expect to be able to build on this as we move forward in partnership with the local community to construct this facility." Biofuel Solutions is a privately held company, headquartered in Colorado that develops and invests in renewable energy projects across North America. Cargill is an international provider of food, agricultural and risk management products and services. It is the nation's third-largest ethanol producer with an 85 million-gallon ethanol plant in Blair, NE and a 35 million-gallon plant in Eddyville, IA.
09.15.05 - The Andersons, Inc. announced today the September 15th, 1:00 p.m., groundbreaking for a 55 million gallon ethanol plant to be built at the site of its grain terminal in Albion, Michigan. The ethanol plant will be owned and operated by The Andersons Albion Ethanol LLC. The Andersons, Inc. is manager, and
together with 4 other investors, co-owner of The Andersons Albion Ethanol LLC.
The new facility is expected to be completed by September, 2006, and will
involve an aggregate investment of approximately $86.0 million. The designer
and general contractor will be ICM, Inc. of Colwich, KS, an industry leader in
ethanol technology and plant construction. Construction and term financing
will be provided by CoBank, ACB, Omaha, NB; Farm Credit Services of America,
Omaha, NB; Greenstone Farm Credit Services, East Lansing, MI; and Farm Credit
of Texas, Austin, TX.
09.14.05 - Trinidad Bulk Traders Ltd (TBTL) , has opened the first locally built ethanol facility at Port Fortin, Trinidad. The $70 million plant has a 50 million gallon per year capacity, and they plan in expanding production to 100 million gallons at some point in the future. The new company is part of the Angostura group of companies. The plant will use ethanol imported from Brazil, which will then be dehydrated, and under the Caribbean Basin Initiative (CBI), and then shipped duty free into the United States for fuel use.
09.12.05 - Fuel ethanol moderated last week, coming off of the Hurricane Katrina induced highs. For full analysis of spot, contract, rack and Chicago Board of Tade (CBOT) ethanol pricing, please subscribe to EthanolMarket.com, Weekly News and Market Report
09.05.05 - US Bioenergy Corporation announced today that they will hold a groundbreaking ceremony for the US Bio Superior Corn ethanol plant near Lake Odessa, Mich. on September 15. A short program and groundbreaking ceremony will begin at the site at 10:30 a.m. and will be followed by a lunch. All events are open to the public. Click here for full Press Release.
09.02.05 - The Chicago Board of Trade (CBOT) near month fuel ethanol futures hit 270 cents per gallon (cpg) in trading yesterday. The fuel ethanol market is very volitile right now, with strong demand, supported by short gasoline markets.
08.30.05 - Hurricane Katrina roared through the Gulf Coast, disrupting production, refining and transportion of oil, natural gas, diesel, jet fuel and gasoline. Spot gasoline basically skyrocketed, trading in the high 200 cpg range. NYMEX gasoline closed up over 40 cpg, closing at 247.45 cpg. Crude jumped to 69.81 per barrel, and natural gas closed at an amazing 11.659MMBtu. Not sure if you can call this "panic" buying, but it is close to it. All this pulled the active ethanol market along for the ride as well, with CBOT ethanol closing up 12 cpg, to 215 cpg. Hurricane Katrina is the largest natural disaster in United States history.
08.29.05 - The Chicago Board of Trade authorized the following Ethanol Futures contracts today - April 2006, May 2005, June 2006, July 2006 and August 2006. The ethanol futures had its 2nd most active trading day today, and the largest since the opening day earlier this year.
08.24.05 - Several key oil companies are planning on swiching from MTBE blends to Ethanol blends. The switch will take place this fall. For a full analysis of the impact of the Energy, and impact of MTBE conversion to ethanol, please subscribe to the EthanolMarket.com, Weekly News and Market Report.
08.22.05 - EthanolMarket.com, announces an Ethanol Producer/Marketer profile that will included in every issue of the Weekly News and Market Report. This is another exclusive service brought to you by the staff of EthanolMarket.com. The weekly profiles will include pertinent details, information and analysis of key fuel and industrial ethanol producers/marketers in North America, and in the World.
08.19.05 - Fuel ethanol prices surge, supported by very strong demand, record gasoline markets and strong future undertones resulting from the Energy Bill, which became law last week. Rack number moved up all week, with state averages in the $2.05 to $2.15 per gallon range. The spot markets have been very active as well. For a full weekly fuel ethanol market and industrial ethanol pricing and market analysis, please subscribe to the EthanolMarket.com, Weekly News and Market Report
8.18.05 - New Jersey Governor signs MTBE legislation into law, banning the gasoline additive by January 2009. However, the EthanolMarket.com, North American Ethanol Market Study, a multiclient study, predicts that MTBE conversion in the state will be substantially in place far before this effective date. For more information regarding this study, please contact firstname.lastname@example.org
08.12.14- Pacific Ethanol Inc - announced today that it has signed an agreement to acquire Phoenix Bio-Industries, LLC ("PBI"). PBI has recently completed construction of an approximate 25 million gallon per year ethanol production facility located in Goshen, California. The facility is currently undergoing initial
start-up testing and, once fully operational, the facility is expected to be the first large-scale ethanol production facility located in California. The closing of the acquisition is expected to occur in early October and is subject to certain conditions including, among others, Pacific Ethanol's ability to successfully obtain adequate financing to complete the acquisition, completion of due diligence by Pacific Ethanol and Pacific Ethanol's ability to purchase all issued and outstanding membership interests of PBI. Prior to execution of the agreement to acquire PBI, Pacific Ethanol and PBI entered into a marketing agreement under which Kinergy Marketing, LLC, a subsidiary of Pacific Ethanol, would market all of the ethanol produced by PBI at its Goshen facility. In addition, Western Milling, one of the largest marketers of grain and feed in California, earlier this year entered into a marketing agreement with Pacific Ethanol under which it will market all of Pacific Ethanol's distillers wet grains produced at Pacific Ethanol's planned
ethanol production facility located in Madera County, California and at the
Goshen production facility.
08.07.05 - Several major oil companies are evaluating switch from MTBE to ethanol. The Energy Bill, combined with state MTBE banning legislation, are both pushing the market away from MTBE. Major markets like New Jersey and Atlanta could start convert this fall and/or early spring. Full details available with subscription to the Weekly News and Market Report.
8.04.05 - In an effort to reduce MTBE liability exposure, Valero Energy Corp. announced that they will stop producing methyl tertiary butyl ether (MTBE) in spring 2006. Also playing in the decision is the Clean AIr Act oxygenate mandate expiration, and the 7.5 billion gallon ethanol Renewable Fuel Standard (RFS), both a result of the Energy Bill, which will become law August 8, 2005. For a full MTBE review and analysis, please subscribe to the EthanolMarket.com, Weekly News and Market Report.
08.02.05 - President Bush is scheduled to sign the Energy Bill on August 8, 2005, at Sandia National Laboratories in Albuquerque, New Mexico.
07.30.05 - The US Senate passed the Energy Bill with a vote of 74-26. The legislation now goes to President for signing. The provision contains the 7.5 billion gallon ethanol Renwable Fuels Standard (RFA). Go to the Legislative page for more details. Subscribe to the EthanolMarket.com, Weekly News and Market Report for full National, State and Local legislative updates and review
07.28.05 - The US House passed the Energy Bill with a vote of 275-156.
07.26.05 - The joint Senate-House conferees agree to a 7.5 billion gallon ethanol Renewable Fuels Standard in deliberations that lasted into the early hours of Tuesday morning, July 26, 2005. Please go to the Legislative page for full details
07.23.05 - Industry producer advises that their "inventory levels are quite tight, sales volume are strong, and discretionary gallons continue to increase". For a full fuel ethanol, industrial ethanol and beverage ethanol market analysis, please subscribe to the EthanolMarket.com, Weekly News and Market Report. Sample copies are available on the Sample Newsletter page.
07.21.04 - Sterling Ethanol and Archer Daniels Midland (ADM) have entered into a marketing agreement, the joint press release is below:
"This marketing agreement will help the Sterling, Colorado ethanol plant be an efficient, profitable and environmentally sound asset to the community," stated Mr. Bill Bornhoft, Sterling Ethanol Vice President and Board Member. "By relying on ADM's experience in the ethanol market, we will be able to ensure that our product is marketed effectively."
"We're pleased to lend our experience and marketing expertise to Sterling Ethanol," stated Mr. Martin Lyons, division Senior Vice President-Ethanol Sales & Marketing for ADM. "As one of the largest producers of fuel ethanol in the United States, we've seen that renewable fuel sources help extend oil reserves, create new markets for the farmer and make for a better environment."
Sterling Ethanol, LLC is owned by local investors, including farmers, ranchers and business people that primarily reside in Northeast Colorado. Currently, Sterling Ethanol, LLC is building the first ethanol plant in the state of Colorado. The plant will have a design capacity to produce 42 million gallons of ethanol per year. Expansion plans are being pursued which will bring the capacity to 80 million gallons annually. In addition to ethanol, the plant will produce approximately 357,000 tons of distiller's wet grain and 78,000 tons of CO2 gas each year.
The plant will have a design capacity to produce 42 million gallons of ethanol per year. Expansion plans are being pursued which will bring the capacity to 80 million gallons annually. In addition to ethanol, the plant will produce approximately 357,000 tons of distiller's wet grain and 78,000 tons of CO2 gas each year.
07.19.05 - The national rack ethanol average jumped 15 cents per gallon last week, up to a national average of 184.7 cents per gallon. For a full contract, spot and rack pricing analysis, sign up for a Free Trial Subscription, or subscribe to the EthanolMarket.com, Weekly News and Market Report
07.18.05 - Red Trail Energy, LLC, has started construction on a plant near Richardson, North Dakota. The ethanol plant will process 18 million bushels of corn, and produce 50 million gallons of ethanol, and 150,000 tons of distillers dried grains per year. The plant will use lignite coal to fire the plant, instead of natural gas, with saving expected to be over $8 million per year in reduced energy costs. They have signed a 10 year contract for coal supply, at 1/4 the current cost of natural gas, and the annual energy cost will be 70% less than plants fired with natural gas.. If you can do it, coal is the way to go.
07.14.05 - Fuel Ethanol prices continue to move, with increases in both rack and spot prices throughout the country. For a full fuel ethanol industry pricing analysis, subscribe to the EthanolMarket.com, Weekly News and Market Report
07.10.05 - Platte Valley Fuel Ethanol, LLC, is planning to double fuel ethanol capacity to 100 million gallons per year. Platte Valley, located in Central City, Nebraska, started production in May 2004. Construction on the expansion is expected to start thsi fall.
07.08.05 - Fuel ethanol prices continue to increase. For a full fuel ethanol market, industrial ethanol market and beverage ethanol market analsyis, please
subscribe to the EthanolMarket.com, Weekly News and Market Report.
07.06.05 - Five companies in Canada will receive CD$46 million to build or expand ethanol facilities in Canada. This is "Round 2" of Canada's Ethanol Expansion Program (EEP). The CD$46 million is in addition to the CD$72 million previously allocated to six other projects in the first round of the Ethanol Expansion Program. For full details, please subscribe to EthanolMarket.com, Weekly News and Market Report, or the EthanolMarket.com, North American Ethanol Market, an exclusive multi-client study and consulting package.
07.04.05 - Last week, the US Senate passed the Energy Bill with a vote of 85-12 . Earlier this spring, the US House passed their version of the Energy Bill. The legislation will now go to conference committee to work on the differences between the two bills, principally MTBE and ANWR, and hopefully they will have a final Bill to present to the President this summer. Full details are in the EthanolMarket.com, Weekly News and Market Report
06.30.05 - Cargill , Fagen and AS Alliances Holdings announce a production alliance, for three new individual 100 million gallon ethanol facilities, at a cost of $125 million each, $375 total. The new venture will be called Demeter Enterprises, LLC. For full press release, and other details, please click on the following link...Cargill Press Release
8.05 - Fuel Ethanol prices continue to climb. Product is tight. State rack averages are now all in the upper $1.50 to low $1.60 per gallon range.
06.27.05 - Record turnout at the BBI Fuel Ethanol Workshop in Kansas City
06.23.05 - Fuel ethanol prices continue to climb. Meanwhile, the higher priced Industrial Marker, has been somewhat active, with some regional price adjustments. The Industrial Market tends to be more stable, and typically does not follow the Fuel Ethanol Market. However, the recent price surge in the Fuel Ethanol Market should stop the market positoning and cherry picking. The last thing the Industrial Market needs is lower net pricing compared to spot Fuel Ethanol, and this starting to happen in a few cases. Additionally, Industrial Ethanol has about $.35 of extra cost throughout the cost chain, so they need at at least $.35 additional net pricing to to stay even with Fuel Ethanol. For a full Industrial Ethanol analysis and single or multi-client studies, please contact EthanolMarket.com
06.17.05 - The fuel ethanol market continues to climb, fueled by higher gasoline prices, and increased demand. For a full market analysis, please subcribe to the EthanolMarket.com, Weekly News and Market Report
06.13.05 - Lincolnway Energy had a groundbreaking ceremony last week, kicking off construction of a 50 million gallon, $83 million ethanol plant in Nevada, Iowa. The ceremony was attended by United States Agriculture Secretary Mike Johanns, Senator Chuck Grassley and Representative Tom Latham. Please contact EthanolMarket.com, for ethanol producer profiles.
06.10.05 - Fuel ethanol prices made significant gains yesterday, fueled by a balanced market, higher demand and stong gasoline markets. For a full ethanol market analysis, please subscribe to the Weekly News and Market Report
06.10.05 - Cargill is evaluating options for a 100 million gallon ethanol facility, with a coal cogeneration plant. Coal fired plants have an advantage over natural gas due to cost. Coal MMBtu cost is much less than natural gas. However, the capital cost for a coal fired facility are much higher.
06.10.05 - Husky Energy is planning to expand the small Manitoba facility up to the size of the new ethanol plant currently under construction in Lloydminster, Saskatchewan, which is 130 million liters, or approximately 34 million U.S. gallons. Full details this week in the EthanolMarket.com, Weekly News and Market Report. Details regarding the Lloydminster plant are below:
Husky Energy Lloydminster Ethanol Plant Fact Sheet PDF
06.09.05 - Suncor Energy kicks off its Environment Week. Press release below:
Suncor Press Release, June 8, 2005 PDF
06.08.05 - Cargill annouces plans for a 37.5 million gallon biodiesel facility, with a 30.0 million pound glycerin refinery. Full press release below:
Cargill Press Release, June 6, 2005 PDF
06.07.05 - CBOT ethanol futures contract closed up 2 cents per gallon (cpg) for both June and July 2005 contracts, up to 123 and 124 cpg, and December closed up 3.5 cents gallon up to 128 cpg. Meanwhile rack and spot prices continue to firm, with small gains across the country.
06.05.05 - Fuel ethanol spot and rack prices are on the rebound. Markets are not strong, but they definitley are firming. Please subscribe to the EthanolMarket.com, Weekly News and Market Report, for a full market analysis.
05.30.05 - Fuel ethanol producers and marketers are anxiously waiting for the final ruling regarding the Atlanta RFG. The state opposed the EPA decision, and the matter is pending appeal in the 11th Circuit Court of Appeals. The original
ruling mandated ethanol usage by January 1, 2005. A final ruling is expected later this summer, or early fall. Please subscribe to the EthanolMarket.com, Weekly News and Market Report for full details regarding Federal and State legislative activity.
05.26.05 - The US Senate passed an 8 billion gallon Renewable Fuels Standard, in the Energy Bill, which is significantly above the House version. Please subscribe to the EthanolMarket.com, Weekly News and Market Report for more details.
05.23.05 - Omaha, NE--The Scoular Company announced May 20 its investment in a 42-million-gallon-per-year ethanol plant currently under construction in Sterling, CO. Although construction of the plant is already underway, Scoular participated in a special groundbreaking ceremony held last week. Completion of the plant is slated for October 2005. Randy Hellerich, Scoular's Director of Business Development said, "We are excited about the ethanol industry and its strategic importance to our business. Sterling Ethanol, LLC is an excellent fit for The Scoular Company. "Along with being an investor in the plant, we will be providing risk management services and will be a supplier of corn through our existing network of western Nebraska and eastern Colorado grain handling facilities." Hellerich will represent the company on Sterling Ethanol's board of directors and Scoular Vice President Todd McQueen, also of Omaha, will serve as a member of the ethanol plant's risk management committee.
For more information, call Randy Hellerich at 402-342-3500.
05.20.05 - Rack prices are "inching up". Please subscribe to the EthanolMarket.com, Weekly News and Market Report for more details.
05.18.05 - United State Senator Pete Domenici, Chairman of the Senate Energy and Natural Resources Committeee, said that they are drafting versions of the Senate energy bill that will include an ethanol mandate of between 6 and 8 billion gallons. The House version called for 5 billion gallons of ethanol usage by 2012.
05.14.2004 -The Consumer Federation of America (CFA), a national consumer watchdog group, has issued a report blasting the oil industry for not taking advantage of benefits associated with ethanol use in the motor fuel pool.
The Report, "Over a Barrel, Why Aren't Oil Companies Using Ethanol to Lower gasoline Prices", can be viewed in the Fuel Ethanol section on www.ethanolmarket.com.
The report, issued this May, by Mark Cooper, Director of Research at CFA, questions "rational economic expectations" for not buying significantly more ethanol, especially at todays significant prices variance. Oil and gasoline prices have hit record highs in recent months, while ethanol, fueled by capacity creep, has dropped down to the $1.15 to $1.25 per gallon range.
The report also suggests that refinery and inventory management has kept inventories low and prices high, and highlights the record profits realized by the major oil companies. Click on the following link for the full report:
"Consumer Federation of America, "Over a Barrel" PDF
05.08.05 - US BioEnergy Corporation ("US Bio") announced today that Dave Vander Griend, President and CEO of ICM, joined US Bio's board of directors. Please click on the following link for a full US Bio Energy Press Release
05.04.05 - Two
Texas firms have independently announced plans to construct fuel ethanol facilities in the Texas Panhandle. The companies, The Panda Group and White Energy Hereford LLC, have announced intentions to build fuel ethanol facilities, both approximately 100 million gallon per year, with completion dates by the end of 2006. There are 84 fuel ethanol plants in the United States, with over 15 under construction and several more undergoing expansions.
04.29.05 - President Bush urged Congress to pass an Energy Bill before the summer recess during his news conference yesterday. The House recently passed a bill that contains a 5.0 billion gallon ethanol mandate by 2012.
4.26.05 - PRESS RELEASE; LEXINGTON, KY - EthanolMarket.com, has announced today that the fuel ethanol industry has recorded yet another monthly production record in February 2005. According to the Energy Information Administration (EIA), the February 2005 fuel ethanol production in the United States totaled 10.290 million gallons per day, for a total of 287.574 million gallons. The February 2005 daily production volume of 10.290 million gallons per day is up 15.6% compared to the February 2004 average of 8.904 million gallons per day, and up 10.8% compared to the 2004 annual average of 9.282 million gallons per day, and 33.8% above the 2003 annual average of 7.686 million gallons per day.
The February 2005 daily average projects to 3.663 billion gallons for the year. However, with capacity expansions, and the continued commissioning of new facilities, the 2005 fuel ethanol production volume in the United States is expected to exceed 3.6 billion gallons.
04.25.05 - Great Western Ethanol will start construction of a 55 million gallon fuel ethanol facility in June 2005. The plant, in Evan, Colorado, will be the largest fuel ethanol facility in the Rocky Mountain region. The plant is expected to be complete by June 2006. The plant will be designed with expansion plans, up to 140 million gallons total ethanol production, in mind. T.E. Ibberson(Minneapolis, MN) and TIC-The Industriual Company has been selected as desigh and build contractor, and Eco-Energy(Nashvilee, TN) has been selected as the exclusive marketer of the ethanol form the Great Western Ethanol facility.
04.22.05 - The United States House passed the Energy Bill on Thursday, April 21, 2005. The bill contains a provision for 5.0 billion gallons of ethanol usage by 2012. The Bill now goes to the Senate for debate. The Senate is expected to up the ethanol provision, perhaps to 6.0 billion gallons. Meanwhile, another bill, the proposed Energy Security Act, calls for 8.0 billion gallons of ethanol usage. Thirty United States Governors have signed a letter urging congress to target a 8.0 billion gallon ethanol mandate. Please go to the Legislative page for full details
04.17.05 - President Bush is urging Congress to have an Energy Bill on his desk before the summer break. As expected, the Bill contains two controversial provisions, the MTBE liability protection and the Artic National Wildlife Refuge (ANWR) in Alaska provision. The Enrgy and Commerce Committe passed the energy provisions last week by a 39-15 vote. Then, the House Resources Committee blocked and attempt by Democrats that would remove the ANWR provision, which essentially allows drilling and exploration in the Refuge. The bill contains a 5 billion gallon ethanol provision. However, Governors from 30 states have signed a letter urging consideration of a 8 billion gallon ethanol provision, with tax incentives to spur ethanol production from other sources.
04.13.04 - Ethanol Bill moving forward in Montana. The bill Senate Bill 293, would require 10% ethanol blends, once the state can provide the required supply, with Montana based fuel ethanol plants. The House Agriculture Committe voted 13-7 in favor of the bill, that would require gasoline sold in the state, with the exception of super unleaded, to contain 10% ethanol.
04.11.05 - Aventine Renewable Energy, Inc, held their first ever earnings conference call last week. Although they are not required to do so, they are expected to hold quarterly updates in the future. $160 million of secured senior notes was issued on December 17, 2004. So, Aventine's bond offering means that they will be operating in a "semi-public company" manner and more information is required to be made public. For full details, please subscribe to the EthanolMarket.com.com, LLC, Weekly News and Market Report.
04.05.05 - High crude oil and gasoline prices are both fueling positve debate for the Energy Bill. MTBE liablity remains a key roadblock. However, President Bush's mandate, and comment in the State of the Union Address "four years is enough", referencing the debate, but failure to pass a comprehensive Energy Bill for the past four years, will provide added incentive for Washington to finally pass legislation. The bill could go a number of different ways, including failure to pass again. However, EthanolMarket.com, predicts passage will come this summer, with a 5.0 billion gallon ethanol mandate.
04.01.05 - United States fuel ethanol industry sets another prodcution record. Fuel ethanol production for the month of January 2005, set a new all-time record of 10.122 million gallons per day, which is over 3.6 billion gallon annual rate. The total production for January 2004 was 313.262 million gallons. The previous production record of 9.744 million gallons per day was set in both December and November 2004. Stocks for month ending January 2005 ended up to 257.7 million gallons, from 251.6 in December 2004.
3.30.05 - Gasoline prices are at an all time record high. The previous record, which was set on May 26, 2004, was $2.054 per gallon for retail regular gasoline. The national average exceeded the record last week, and is now $2.153 per gallon. The national average for retail diesel gasoline is $2.304 per gallon.
03.23.05 - The Chicago Board of Trade (CBOT) announces the successful launch of the CBOT Fuel Ethanol Futures Contract. Click on full press release below.
CBOT Ethanol Futures Contract Successful Launch, March 23, 2005 PDF
3.20.05 - U.S. Senator Richard Lugar (R-Indiana) and U.S. Senator Tom Harkin (D-Iowa) introduced the "Fuels Security Act of 2005", which calls for 8 billion gallons of fuel ethanol usage by 2012. Click on the following link for a Illinois Department of Agriculture press release.
Illinois Department of Agriculture Fuels Security Act of 2005 press release PDF
03.17.05 - United States Senate Environment and Public Works Committee passed the Renewable Fuels Standard Legislation on Wednesday, March 16, 2005, clearing the way for a US Senate vote. The legislation, submitted by Senator John Thune, calls for 6.0 billion gallons of ethanol use by 2012, and phases out MTBE use over the next four years, and increases the use of biofuels.
03.15.05 - The Chicago Board of Trade just announced a few minutes ago that they will be moving up the date for the release of the CBOT Ethanol futures contract. The contract will launch at 10am next Wednesday, March 23, 2005. Noble Americas Corp will serve as the market maker. Please click on the following link for the full CBOT press release.
CBOT Ethanol Futures Contract Launch, March 23, 2005
03.11.05 - Low fuel ethanol prices, and weak domestic demand, are supporting export activity. Fuel ethanol exports are expected to increase during Q2 2005. For a full analysis, please subscribe to the Weekly News and Market Report.
03.08.05 - The Chicago Mercantile Exchange(CME) has announced the opening of an ethanol futures contract. Trading will start March 29, 2005. Please click here to read the full CME Press Release.
03.01.05 - Mid Missouri Energy made its first ethanol shipment last week. The farmer owned plant, located in Malta Bend, Missouri, will produce 45 million gallons of ethanol per year, using over 15 million bushels of corn, and produce over 130,000 tons of DDGS.
2.23.05 - EthanolMarket.com announced today that The United States fuel ethanol industry set an annual production record in 2004, with fuel ethanol production totaling 3.402 billion gallons. According the EIA, The December daily fuel ethanol production averaged 9.744 million gallons per day, which essentially tied the previous record set in November 2004. Total fuel ethanol production in December 2004 was 301.6 million gallons. The 3.402 billion gallon ethanol production in 2004 is 21.5% above the 2003 total of 2.804 billion gallons. For additional ethanol market information, studies and individual consulting services, please contact email@example.com , or subscribe to the Ethanol-Biofuels-Renewable Fuels Weekly News and Market Report.
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2.22.05 - Fuel ethanol rack prices continue to drop. For a full analysis, including actual confirmed rack prices across the country, contract prices and spot activity, please subscribe to the EthanolMarket.com, Ethanol-Biofuels-Renewable Energy Weekly News and Market Report.
2.22.05 - Iowa has surpassed Illinois as the top ethanol producing state. Iowa produced over 860 million gallons of fuel ethanol in 2004, representing over 24% of the 3.4 billion gallon total produced in the United States last year. With at least six new facilities slated to be commissioned in 2005, Iowa's production capacity is expected to exceed 1.0 billion gallons. Over 1.0 billion gallons of gasoline-ethanol blends were sold in Iowa last year, which represents 65% of the gasoline motor fuel pool.
2.20.05 - The Chicago Board of Trade(CBOT) recently announced that they will begin trading a CBOT Denatured Fuel Ethanol futures contract on Friday, April 8, 2005. The CBOT has been reviewing contract details for the past six months. The contract, which is a corn based contract, is expected to more active than the NYMEX contract, which has been a failure. Please click on the following link for the CBOT Ethanol Futures Press Release PDF.
2.15.05 - The North Dakota House passed ethanol legislation providing for tax incentives for E85, by a margin of 81 to 9. The tax for E85 would be one cent per gallon. North Dakota gasoline tax is 21 cents per gallon. The savings would be required to be passed on to the consumer. The ethanol legislation now goes to the Senate for review.
2.14.05 - Idaho etahnol legislation dies in the Senate. The bill would have required ethanol in all gasoline products by 2010.
2.10.05 - Montana is a step closer to a 10% ethanol mandate. The Montana state Senate passed ethanol legislation requiring 10% ethanol blends in the state, by a 34 to 16 margin. The bill, Senate Bill 293, now goes to the House.
01.29.05 - EthanolMarket.com announced today that The United States fuel ethanol industry set yet another production record in November 2005. The November daily average totaled 9.744 million gallons per day, which is over 500,000 gallons per day above the YTD November 2004 average of 9.240 million gallons per day, and over 20% above same period last year. The total production in November was 291.732 million gallons. The YTD November 2004 production volume is 3.101 billion gallons. EthanolMarket.com projects the 12 month total production volume for 2004 will exceed 3.4 billion gallons, which is 21.5% above the 2003 total. For additional ethanol market information, and individual consulting services, please contact firstname.lastname@example.org
01.22.05 - Fuel Ethanol prices drop again. For a full ethanol market analysis, please subcribe to the EthanolMarket.com, Weekly News and Market Report. Additional ethanol analysis available with individual consulting services. Please contact email@example.com.
1.14.05 - The Union Pacific railroad capacity has been significantly impacted due to the recent flooding and mudslides on the West Coast. The company estimates that service to the Los Angeles Basin will operate at 2/3 capacity for an extended period of time. Two of the five main routes into the Basin are closed. The Caliente Canyon in Nevada was also severely impacted, with damage to rail line and many of the acces roads as well. Lines going north-south from LA to Oakland have also be damaged. Many of the damaged lines will be down two weeks or longer. Traffic is congested all the way back to Chicago. The immediate impact for Midwestern ethanol producers will be " where are we going to put all this ethanol", and short term local spot prices may be impacted. This is a huge problem, not only for the ethanol business, but for rail freight in general, and may take many months to get "back to normal" . Ethanol supply to the LA Basin is delivered from the Midwest in railcars.
01.13.05 - Brazilian exports on track to increase 300% in 2004. Total Brazilian exports are expected to exceed 2.2 billion liters, which is over 580 million gallons. The growth has been firmly supported by fuel ethanol program in India, United States, Canada, Thailand, and gasoho/fuel ethanol programs in many other countries. Will this explosive growth rate continue in 2005? For a full analysis, please contact firstname.lastname@example.org for a project review of single client studies, multiclient studies and industry updates and analysis.
12.30.04 - EthanolMarket.com Press Release ;
LEXINGTON, KY - EthanolMarket.com, has announced today that the fuel ethanol industry has recorded yet another monthly production record in October 2004. According to the Energy Information Administration (EIA), the October 2004 fuel ethanol production in the United States totaled 7,007 thousand barrels (294.3 million gallons), which tied the daily ethanol production average of 226 thousand barrels (9.492 million gallons ) per day set in September 2004. The YTD October 2004 fuel ethanol production totals 66,883 thousand barrels (2.809 billion gallons). The October 2004 daily ethanol production volume annualizes at over 3.464 billion gallons per year. EthanolMarket.com, projects the January through December 2004 fuel ethanol market production total will be close to 3.40 billion gallons, which is 21% above the 2003 total of 2.81 billion gallons, and 200% above the 2000 total of 1.63 billion gallons. These volumes are for United States fuel ethanol production and do not include ethanol marketplace statistics for industrial and beverage ethanol production.
The United States currently has 83 ethanol plants with a capacity of over 3.6 billion gallons. There are over 17 plants under construction and several major expansions, with an aggregate capacity of over 740 million gallons. There are many other United States and Canadian projects in the financing, engineering and developmental stages.
The Premier Ethanol/Biofuels Industry Newsletter, Webnews and Consulting source
12.15.04 - Petrojam, in Kingston, Jamaica, has agreed to a deal for the rehabilitation of it Kingston ethanol production facility, with Coimex Trading, a Brazilain firm. Coimex will provide approximately $7.5 million to upgrade the facility. Coimex will also provide supply the raw material(ethanol). The government will waive import duties and fees, and Petrojam will operate the facility and process the ethanol. It is expected that the finished product will be supplied to the United States, mainly under the Caribbean Basin Initiative (CBI), which allows up to 7% of the United States fuel ethanol demand to be imported to the United States, duty free. For a full review of this and other Caribbean developments, please contact email@example.com for consulting services, or subscribe to the EthanolMarket.com Ethanol and Biofuels Weekly News and Market Report. EthanolMarket.com is the Industry's Premier News, Webnews and Consulting source.
12.14.04 - Fuel ethanol prices continue to drop, following NYMEX unleaded gasoline. NYMEX gasoline was as high as $1.30 several weeks ago. The Monday, December 13, 2004 close was just over $1.10 per gallon. For a full fuel ethanol price analysis, please subscribe to the EthanolMarket.com, Ethanol/Biofuels Weekly News and Market Report.
12.13.04 - Ontario, Canada approved a 5% ethanol mandate, to be implemented by January, 1, 2007. The plan allows for marketers to buy/exchange credits, which will create flexibility, and support a lower overall implementation cost. The plan will allow some marketers to blend higher than 5%, and others lower than 5%, and then buy/exchange blending credits to reach the target of an average of 5% ethanol in gasoline. Manitoba and Saskatchewan previously approve ethanol legislation requiring 10% and 7.5%, respectively, ethanol by the end of 2005. The recent ethanol legislation is fueling a strong ethanol growth in Canada. Meanwhile, authorities are still reeling from the recent Suncor Brazilian ethanol import deal, which allows significant Federal and Provincial tax exemptions.
12.07.04 - Another $28 million has been released in round 2 of the Canada Ethanol Expansion Program. This news comes on the heels of the recent Ontario fuel ethanol legislation, mandating 5% ethanol by January 1, 2007. Click on the following link for more...Canadian Renewable Fuels Association Press Release
12.06.04 - Wow! NYMEX wholesale unleaded regular gasoline prices (New York Harbor) dropped below $1.15 per gallon, following crude which closes under $43 per barrel. The drop will have an impact ( lower prices) for both the contract numbers and current rack/spot fuel ethanol prices. The national average ethanol rack price has dropped over $.05 per gallon just in the last couple of days. For a full ethanol marketplace analysis, please subscribe to the EthanolMarket.com, Weekly News and Market Report.
11.24.04 - (Press Release) EthanolMarket.com, reports that the United States fuel ethanol market production for September 2004 totaled 284.2 million gallons, which set a new daily ethanol production average of 9.492 million gallons per day. August 2004 fuel ethanol production totaled 293.03 million gallons, which previously set a daily ethanol production record of 9.450 million gallons. The September daily ethanol production volume annualizes at over 3.45 billion gallons per year. The actual YTD September 2004 fuel ethanol production volume totals 2.515 billion gallons. EthanolMarket.com, projects the January through December 2004 fuel ethanol market production total will be close to 3.40 billion gallons, which is 21% above the 2003 total of 2.81 billion gallons, and 200% above the 2000 total of 1.63 billion gallons. These volumes are for United States fuel ethanol production (EIA statistics), and do not include ethanol marketplace statistics for industrial ethanol production and beverage ethanol production. For a full ethanol marketplace analysis, please subscribe to the Weekly News and Market Report.
11.16.04 - ACE Ethanol, LLC, has completed the expansion from 15 up to 30 million gallons per year. The plant will use over 30 million bushels of corn.
11.15.04 - Archer Daniels Midland (ADM) has announced a stock repurchase program, authorizing the purchase of up to 100 million shares of common stock during the period starting January 1, 2005 and ending December 31, 2005.
11.14.04 - ADM net earnings for FY 2005 Q1 increased 77%, to $266 million, or $.41 per share, compared to $150 million, or $.23 per share same period last year. Net sales for the quarter ending September 30, 2004, increased 13% to $8.972 billion, up from $7.967 billion same period last year.
11.12.04 - Accessity Corp ( NASDAQ : ACTY ) submitted a preliminary proxy statement to the SEC, pertaining to a share excahnge agreement ( acquisition ) with Pacific Ethanol, Kenergy and and Reeneergy. The objective of the new company is to create a vertically integrated marketing, distribution and production for renewable fuels, primarily ethanol. They are currently pursuing other acquisitions in the ethanol marketplace. Click here for full Press Release
11.10.04 - MGP Ingredients released fiscal Q1 2005 results, for the quarter ending September 30, 2004. Net income was was $291,000, or $02 per share, on sales of $68,878,000. That compares to net income of $2,470,000, or $.16 per share on sales of $57,054,000 same period prior year. MGP Ingredients Press Release
11.08.04 - The EthanolMarket.com, Price Watch for fuel ethanol prices is $1.81 per gallon. However, current rack/spot prices are much higher, confirming tightness in the fuel ethanol market.
11.08.04 - Nebraska ethanol production is expected to exceed 480 million gallons this year, using 219 million bushels of corn, representing over 18% of Nebraska's corn crop. Nebraska currently has 11 operating ethanol plants, with at least six more in various stages of planning and construction.
11.05.04 - (Press Release) Sioux Falls, SD--The Broin Companies are pleased to announce the creation of a revolutionary new patent pending technology for ethanol production that eliminates a costly energy consuming cooking step in the process.
The "Broin Project X" (BPX) process not only reduces energy costs, but also releases additional starch content for conversion to ethanol, increases protein content and quality of byproducts, increases byproduct flowability, potentially increases plant throughput, and significantly decreases plant emissions.
Jeff Broin, CEO of the Broin Companies, stated, "The BPX process may be the biggest breakthrough in starch conversion to ethanol in more than 100 years" .
Click on the following link for the full Broin Press Release
11.05.04 - Midwest Renewable of Iowa Falls, are planning on breaking ground in November for a 100 million gallon fermentation ethanol facility in Fairbank, Iowa, with hopes that the plant would begin producing ethanol by February 2006. The fermentation ethanol business would consume approximately 32 million bushels of corn per year.
11.04.04 - Fuel ethanol market prices reach new highs. Current spot/rack prices jumped again last week and now exceed...Subscribe
11.01.04 - (Press Release)EthanolMarket.com reports that fuel ethanol production for August 2004 totaled 293.03 million gallons, which set a daily production record of 9.45 million gallons. The August daily production volume annualizes at over 3.45 billion gallons per year. The actual YTD August 2004 fuel ethanol production volume totals 2.231 billion gallons. The expected January through December 2004 production is expected to exceed 3.40 billion gallons, which is 21% above the 2003 total of 2.81 billion gallons, and 200% above the 2000 total of 1.63 billion gallons. These volumes are for United States fuel ethanol production, and do not include ethanol marketplace statistics for industrial ethanol production and beverage ethanol production. For a full ethanol marketplace analysis, please subscribe to the Weekly News and Market Report.
10.27.04 - Indcor, an Australian ethanol company, has aquired Tri-State Ethanol Company, in Rosholt, South Dakota, through it United States subsidiary, ABUS LLC. The 14 million gallon facility shut down several years due to financial concern. Indcor, will soon be changing their name to Australian Ethanol Limited
For a full review of Indcor, please subscribe to the EthanolMarket.com, Weekly News and Market Report.
10.22.04 - Fuel ethanol rack prices continue to increase. Ethanol market prices have increased for the fourth straight week. Full ethanol market price analysis available with subcription to the EthanolMarket.com, Newsletter.
10.07.04 - The Georgia Department of Natural Resources (DNR) has been denied the requested waiver form the U.S. Environmental Protection Agency (EPA) that would have allowed Atlanta to not be subject to the Clean Air Act oxygenate requirement. Previous requests by California, New York and Louisiana have all been turned down. The decision, strongly supported by the National Corn Growers Association (NCGA) and the Renewable Fuels Association (RFA) is expected to result in an fuel ethanol demand increase of...more
9.17.04 - Wyoming Ethanol, Torrington, WY, will double fuel ethanol production capacity from...Subscribe
9.12.04 - The United States fuel ethanol industry set another record production rate for June 2004. The June production totaled 279.22 million gallons for a daily average of 9.33 million gallons( 222,000 barrels ). The YTD June 2004 daily average is 9.07 million gallons per day (216,000 barrels). June was the 9th consecutive month that a record was established. Production was up approximately 23% compared to same period last year. The YTD June 2004 production volume totals 1.654 billion gallons.
09.01.04 - Verasun will break ground on their 110 million gallon fuel ethanol facility on September 18, 2004. The plant is scheduled to begin production in early 2006. The Verasun Fort Dodge plant will be one of the largest dry mill plants in the US. The general contractor is Fagan, Inc, of Granite Falls, MN. For a full copy of the press release, please click on the following link...Verasun Press Release
08.05.04 - Alltech sold its alcohol division to Lallemand, a French Canadian company, for $30 million. Alltech sold the division because they want to focus on its animal feed and human nutrition businesses, which produce over 96% of the company's revenues. Lallemand aquired the business so they could expand its development and supply business of yeasts, bacteria and other ingredients to the ethanol and beverage alcohol industry. Alltech is based in Nicholasville, KY, just outside of Lexington, KY. The biotechnology company has 1,300 employees and the operate in 76 countries worldwide. Dr. Pearse Lyons is President.
07.24.04 - Click here for a copy of Tom Daschle's letter regarding Cargills plan to import fuel ethanol.. Tom Daschle letter
07.19.04 - Click here for a copy of the National Corn Growers Association letter in response to Cargills plan to import fuel ethanol...NCGA Letter
07.10.04 - April 2004 fuel ethanol production finished at 9.156 million gallons per day, breaking the previous record of 8.900 million gallons per day. EthanolMarket.com has previously issued a press release in June announcing that the fuel ethanol industry has recorded yet another monthly production record in March 2004. According to the Energy Information Administration (EIA), the March 2004 fuel ethanol production in the United States totaled 8.9 million gallons per day, for a total 279.3 million gallons. The March 2004 daily production volume of 8.9 million gallons per day is up 22% compared to March 2003, up 16% compared to the 2003 annual average, and 102% above the 2000 annual average. The YTD March 2004 production totals 812.9 million gallons. The March 2004 daily average projects to 3.17 billion gallons for the year. However, with capacity expansions, and the expected commissioning of several new facilities, the 2004 fuel ethanol production volume is expected to exceed 3.30 billion gallons.
05.26.04 - The ethanol market set another production record in March 2004. The fuel ethanol production in March totaled 279.2 million gallons. The daily rate of 8.9 million gallons projects to 3.2 billion gallons annually. The industry is expected to produce over 3.3 billion gallons in 2004. The fuel ethanol market is...More
05.24.04 - A major producer has announced strict sales control for Industrial ethanol. The market dynamics fully support this position. The Industrial ethanol market pricing has been lagging behind Fuel ethanol. The gap...More
06.07.04 - CBOT still planing a corn based ethanol futures contract in the fall
05.10.04 - New York Board of Trade(NYBOT) traded sugar based ethanol futures for the first time on Friday, May 7th. NYBOT will begin trading ethanol options today, Monday, May 10th
05.06.04 - New York Board of Trade(NYBOT) gearing up for sugar based ethanol futures. NYBOT will begin trading Friday, May 7th, 2004. Chicago Board of Trade(CBOT) will begin trading corn based ethanol futures in the fall.
05.06.05 - Martin A. Lyons has been appointed to Senior VP of Ethanol Sales and Marketing for Archer Daniels Midland Company(ADM) Corn Processing division. Mr. Lyons will be responsible for the sales, marketing and distribution of fermentation grade ethanol for the fuel, industrial and beverage markets. ADM is the...More
05.05.04 - Fuel ethanol prices maintain pricing levels in the mid $1.70 range. Markets will respond to NYBOT's ethanol futures trading, which will start Friday, May 7th...More
05.01.04 - Archer Daniels Midland(ADM) Q3 earnings per share increased 94%. Q3 earnings per share totaled $0.35, compared to $0.18 per share same period last year. Net earnings for the quarter ending March 31, 2004, totaled $227 million, compared to $117 million same period last year. ADM's fuel ethanol business contributed...More
04.28.04 - Another fuel ethanol facility starts production...More
04.27.04 - February 2004 US Fuel Production breaks another record...More
January 2004 US fuel Ethanol production totaled over 275 million gallons, which annualizes over 3.3 billion gallons. This is a new production record. Total 2003 production was 2.81 million gallons. Annualized, January 2004 production is 17% above 2003. Subscribe to the EthanolMarket.com newsletter for additional details, analysis and historical data.
Corn and Natural gas costs pressuring ethanol facilities...More
North Dakota in line for two new ethanol plants. The two plants, a 65 million gallon facility, and a 18 million gallon plant, are in the planning stage, are lining up investors and evaluating sites. The facilities are expected to be on line...More
Fuel ethanol prices continue to ride the gasoline wave. The national average price increased to over... More
Two vessels arrive in New York carrying ethanol from Brazil to help supply the New York and Connecticut markets...More
The United States sets a new annual ethanol production record in 2003, representing an increase of over 30% above 2002, and nearly double several years before that...More