Joe lays out the parameters on nationwide E-15 this morning.

https://youtu.be/DTIRnOP2wxI?si=-8Io1R2ARuO6Mzk3 

“it would probably take a decade.. you’d have to build new plants.”

Not so fast my friend..

The fastest growing fuel retailer here sells unleaded 88 (e-15) at a pretty substantial discount.. they are growing and adding stores.

I think in the upper Midwest.. e-15 probably has a price advantage.. let the market decide.  Price will win.

As far as expansion.. a lot of existing plants were designed to be expanded.. ours could double in output.. already has the grain side.. tanks.. etc.. add.. and it would still be expensive.. but add another cooking tank.. fermenting tanks.. distillation and ddgs capacity.

it would cost.. but could be done.  They’ve sunk a well to start claiming the Carbon sequester credits which will add bank.. to what they are currently doing.

All this kind of makes sense.. ethanol replaces the octane component of gasoline which comprises up to 30%.. so 15% is only halfway there… plenty of room.. if you’d couple it with higher compression.. more fuel efficient engines.. which would require higher octane..

Let consumers “pick their poison..”. More petroleum cancer causing octane.. or ethanol?

natural selection might win that.. boy that was harsh.. an ad campaign could point that out.. but people still smoke and drink in excess.. so.. human nature can be its own demise.

As Covid proved.. having a natural buffer in ethanol.. Covid happened.. driving stopped.. ethanol shut down.. corn for ethanol was there (without a taxpayer funded reserve) to meet demand as Putin went into Ukraine.. and commodities spiked.

In spite of Venezuela.. which if that comes on line.. may take a decade.  The US will probably start rolling over on shale.. yes we can still do more.. but like heavy crude.. will take higher prices to maintain.. and expand.

here’s your corn glut solution.

extra ddgs feed livestock expansion and growth in wealth..