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Joe, right now the ethanol price and the regular are the same price. Six months ago ethanol85 was 60 cents sheaper than straight gasoline. I think we are seeeing a spike in ethanol prices as the fuel retailers are switching from MTBE to ethanol as an oxygenate. I would have to imagine as summer goes on, and more ethanol is available, the price advantage will reappear. DF
2 weeks ago in the Sioux City area it was at 2.40. Regular gas was about 2.70. They are building ethanol plants left and right around here. I think the demand is up for it which raises the prices. It will probably be a little spendy for a while till the supply meets the demand.
Guys just stopped in at the closest ethanol station to me this AM, 05/18/06, and ethanol85 is selling for 2.44&9 tenths per gallon. regular gasoline down the street was 2.90 & 9/10ths at several other stations. DF
They will only build them where it is economically feasible to ship the product. E85 is harder to handle and transport than gas. Right now most of it comes from corn farm country. When they perfect the biomass conversion process and get away from fermentation more of it will be available in other areas.
There is also a waste to oil process that is being perfected that will help with alternative fuels but most of that production may go to diesel.
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