'Ethanol Boom Is Running Out of Gas'

Post #294,019 by Andrew Grygus 10/2/07 3:03:07 AM Reply	'Ethanol Boom Is Running Out of Gas' (Wall Street Journal 10-1-07) Some ethanol producing companies have achieved financial "Death Watch" status. Reasons abound.\r\n \r\n Overcapacity - has resulted in sharply declining prices (everybody wanted to "get in on the ground floor") and more capacity is currently under construction. \r\n Rising Feedstock Costs - corn is getting very expensive due to demand by ethanol producing companies and competition from the food industry. \r\n Storage Problems - there's a serious shortage of tankage suitable for ethanol storage - see Transportation. \r\n Transportation Costs - ethanol can't be pumped through pipelines because it'd quickly corrode the pipes. \r\n Government Subsidies - the entire agricultural and food industries are in Washington lobbying hard to reduce ethanol subsidies - except corn farmers and ethanol producers of course. \r\n Cost Overruns - on new capacity under construction. The cost of building an ethanol plant has risen sharply (no explanation as to why). \r\n \r\n [link\|http://www.aaxnet.com\|AAx]
Post #294,021 by Ashton 10/2/07 4:01:29 AM Reply	Hmmm.. a lot like Fibre! Fibre! Fibre! ... a few years back? (I peddled a Tek optical TDR to a guy in his Cessna, enroute to So Cal - at local airport, during that particular black tulip craze ... there we were in the small lobby, with the test length of glass, showing a textbook reflection at its exact length. He didn't even want the box.) 'Twas a lobster and champagne evening at this end.. I expect some of the gasoholic peddlers were having the same - but in the Bahamas.
Post #294,027 by Another Scott 10/2/07 7:53:36 AM Reply	NY Times. 35 kB .img [image\|http://graphics8.nytimes.com/images/2007/09/29/business/ethanol-image.jpg\|0\|A Glut of Ethanol\|373\|450] From a NY Times [link\|http://www.nytimes.com/2007/09/30/business/30ethanol.html\|story] from 9/30/2007. It sounds like a temporary problem. If the price continues to drop, then there will be natural incentives to add more of it to more expensive gasoline, helping to support the ethanol price. Cheers, Scott. (Who has never seen an E85 pump.)
Post #294,041 by Andrew Grygus 10/2/07 11:22:54 AM Reply	Only partially The surplus may be brought down, but competition and lobbying by the food industry will only get more intense - and when consumer organizations digest what it's doing to food prices there'll be more pressure to pull the subsidies. Transportation and storage problems will remain - you can't store or pipe ethanol in steel because of its affinity for water, which causes rust. Also, boat owners are having considerable problems caused by high ethanol fuel. [link\|http://www.aaxnet.com\|AAx]
Post #294,042 by Andrew Grygus 10/2/07 11:48:40 AM Reply	Heinz developing sweeter tomatoes. (Wall Street Journal 10-3-07) The reason? Ethanol production has increased the cost of corn syrup used in ketchup to the point they want to cut down on it. Sweeter tomatoes will require less sweetener. [link\|http://www.aaxnet.com\|AAx]
Post #294,044 by imqwerky 10/2/07 12:02:30 PM Reply	Oh Noes! (img 9k) [image\|http://www.tvacres.com/images/killer_tomato.gif\|\|\|\|] Attack of the killer tomatoes! Attack of the killer tomatoes! They'll beat you, bash you, Squish you, mash you Chew you up for brunch And finish you off for dinner or lunch! They're marching down the halls They're crawling up the walls They're gooey, gushy, squishy, mushy Rotten to the core They're standing outside your door! Remember Herman Farbage While taking out his garbage He turned around and he did see Tomatoes hiding in his tree Now, he's just a memory! I know I'm going to miss her A tomato ate my sister Sacramento fell today They're marching in San Jose Tomatoes are on their way! Smile, Amy

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