Not Logged In Log In   Sign Up   Points Leaders
Follow Us    10:45 PM

GasBuddy News Article

46
votes
Pacific's Koehler Explains why Ethanol Margins Better Now

DTN News -- [Koehler] said ethanol supply is tight, especially along the West Coast, in part because of a lack of railcars to move the product from the Midwest.

...the railcar market is tight because railroad and other railcar operators are finding it more profitable to lease cars to producers of Bakken crude in North Dakota rather than ethanol producers.

"The fleet is tight, especially in the West Coast," he said. "If you are a producer of ethanol, you can't produce more because you won't be able to just go out and lease a railcar within Chicago...There aren't available railcars, though you can use trucks to move the products around the Midwest."

Koehler said right now it costs about $4,000 per month to lease a railcar that carries 29,000 gallons of ethanol, which translates to about 14 cts per g


Read the Full Article

Submitted May 12, 2013 By: DoctorV
Category: Daily News Article Discussions > Topics Add to favorite topics  
Author Topic: Pacific's Koehler Explains why Ethanol Margins Better Now Back to Topics
REPLIES (newest first) Post a Reply
Profile Pic
DanMtz
Champion Author Oakland

Posts:5,958
Points:1,848,215
Joined:Oct 2009
Message Posted: May 13, 2013 7:52:25 PM

Sounds like a short-term phenomenon.
Profile Pic
scubadaniel
Champion Author Dayton

Posts:3,915
Points:1,288,765
Joined:Jan 2011
Message Posted: May 13, 2013 7:08:11 PM

Stop the maddness!
Profile Pic
dr047
Champion Author Cleveland

Posts:4,915
Points:1,056,940
Joined:Aug 2010
Message Posted: May 13, 2013 6:31:34 AM


Fear Not - Politicians know more about the workings of the internal combustion engine than do automakers!
Profile Pic
tomok
Champion Author Portland

Posts:43,793
Points:2,950,160
Joined:Aug 2006
Message Posted: May 13, 2013 2:51:10 AM

Pacific's Koehler Explains why Ethanol Margins Better Now. Ethanol supply is tight, the railroad and other railcar operators are finding it more profitable to lease cars to producers of Bakken crude in North Dakota rather than ethanol producers. Transport more Bakken crude oil so less ethanol is produced. Great! More of the same!
No fuel from Food! Ethanol added to gasoline is Not good.
E-0, E Free is the only 100% gasoline I want and need!
Drive vehicles with high MPG, are very safe, reliable, have a ‘reasonable’ cost and a good ‘value’ for the money.
The price of fuel at the pump is too high!
Profile Pic
Bttlecat
Champion Author Oklahoma City

Posts:2,118
Points:481,975
Joined:Jan 2013
Message Posted: May 13, 2013 2:00:27 AM

how long have we been told not to mix alcohol and gasoline? Now the fed is forcing us to do so.
Profile Pic
bearzz
Champion Author California

Posts:3,972
Points:1,002,630
Joined:Mar 2011
Message Posted: May 13, 2013 1:12:33 AM

Meh . . . no ethanol in my vehicle.
Profile Pic
abk
Champion Author Utah

Posts:3,375
Points:1,198,125
Joined:Jan 2010
Message Posted: May 13, 2013 12:28:10 AM

And this is bad? Corn shouldn't be in fuel form anyway.
Profile Pic
DeserTBoB
Champion Author California

Posts:1,757
Points:293,545
Joined:Aug 2012
Message Posted: May 13, 2013 12:25:20 AM

No, that's not the whole story. UTLX and GATX are also at fault for not ramping up tank car production to keep up with demand, while UP is refusing to handle crude OR ethanol on their rails. THis is what happens when you get deregulation, as we got with the RRs in 1980 with Staggers...they couldn't care less about the national interest, only their own agenda.
Profile Pic
Dragnet
Champion Author Arizona

Posts:18,114
Points:3,492,430
Joined:Jul 2004
Message Posted: May 13, 2013 12:24:26 AM

Ancient
Profile Pic
pv2004
Champion Author Connecticut

Posts:1,270
Points:829,810
Joined:Jun 2004
Message Posted: May 13, 2013 12:23:23 AM

old
Profile Pic
SHEP20715
Champion Author Maryland

Posts:11,127
Points:2,317,340
Joined:Nov 2007
Message Posted: May 13, 2013 12:22:10 AM

We need more sources of non-food alternative energy
Profile Pic
NatureBoyKY
Champion Author Kentucky

Posts:3,726
Points:1,391,080
Joined:Jan 2008
Message Posted: May 13, 2013 12:20:29 AM

Screw profits. Eventually the common good must come in to play.
Profile Pic
UpSol7
Champion Author Augusta

Posts:2,345
Points:1,278,900
Joined:Sep 2008
Message Posted: May 13, 2013 12:19:34 AM

ethanol is just not a good idea
Profile Pic
gass12
Champion Author Omaha

Posts:10,869
Points:2,902,380
Joined:Oct 2005
Message Posted: May 13, 2013 12:19:19 AM

Tough.
Profile Pic
MikLamb
Champion Author Texas

Posts:10,580
Points:2,776,845
Joined:Jun 2006
Message Posted: May 13, 2013 12:18:35 AM

Ugh, just stupid.
Profile Pic
bobcatfan
Champion Author Kentucky

Posts:3,442
Points:1,171,325
Joined:Apr 2011
Message Posted: May 13, 2013 12:13:57 AM

Another reason to stop adding ethanol to gasoline.
Profile Pic
Zonk
Champion Author Michigan

Posts:9,045
Points:2,699,350
Joined:Oct 2005
Message Posted: May 13, 2013 12:13:32 AM

I don't want any ethanol mixed with gas.
Profile Pic
oldred11
Champion Author Indianapolis

Posts:4,088
Points:1,332,520
Joined:Mar 2011
Message Posted: May 13, 2013 12:13:28 AM

Just be glad we are not in Brazil where they have gone back to E25. . .
Profile Pic
mfeldstein
Champion Author Ottawa

Posts:10,643
Points:2,507,435
Joined:Feb 2007
Message Posted: May 13, 2013 12:12:59 AM

Along with fracking, ban ethanol in gas tanks.
Profile Pic
10k
Champion Author North Carolina

Posts:24,759
Points:2,856,475
Joined:May 2006
Message Posted: May 13, 2013 12:12:51 AM

ethanol is word that should never have been created, cause there is no reason whatsoever for it to exist..
Profile Pic
madison8359
Champion Author Cleveland

Posts:15,588
Points:2,196,255
Joined:Apr 2008
Message Posted: May 13, 2013 12:12:44 AM

Good to know.
Profile Pic
mlmeng
Champion Author Michigan

Posts:4,235
Points:1,195,690
Joined:Mar 2011
Message Posted: May 13, 2013 12:11:51 AM

Tsunamiron wrote "Ethanol destroys cars and reduces fuel efficiency. "

Bingo!
Profile Pic
obimerrill
Champion Author Cincinnati

Posts:4,036
Points:893,290
Joined:Jul 2012
Message Posted: May 13, 2013 12:09:42 AM

Get it out of gas and on to our plates!
Profile Pic
boatmen
Champion Author New York

Posts:5,234
Points:1,143,595
Joined:Jan 2011
Message Posted: May 13, 2013 12:09:20 AM

old no food for fuel
Profile Pic
yyc2yow
Champion Author Ottawa

Posts:1,039
Points:656,095
Joined:Dec 2009
Message Posted: May 13, 2013 12:08:53 AM

for food
Profile Pic
mcmonsta
Champion Author Honolulu

Posts:5,586
Points:1,411,935
Joined:Sep 2009
Message Posted: May 13, 2013 12:08:35 AM

just produce real gas ...problem solved...right?
Profile Pic
Tsunamiron
Champion Author Jacksonville

Posts:3,901
Points:1,152,025
Joined:Mar 2011
Message Posted: May 13, 2013 12:05:22 AM

Ethanol destroys cars and reduces fuel efficiency.
Profile Pic
rahcat
Champion Author Grand Rapids

Posts:5,315
Points:1,267,600
Joined:Jan 2010
Message Posted: May 13, 2013 12:04:37 AM

Old News
Profile Pic
PrinceLH
Champion Author Ontario

Posts:5,307
Points:1,142,695
Joined:Jun 2011
Message Posted: May 13, 2013 12:04:11 AM

It's crap and a money grab!
Profile Pic
jrschl
Champion Author Louisville

Posts:5,569
Points:1,285,715
Joined:Jun 2011
Message Posted: May 13, 2013 12:03:35 AM

Just do away with it. Feed it to the animals.
Profile Pic
jackson661
Champion Author Columbus

Posts:5,101
Points:2,015,710
Joined:May 2006
Message Posted: May 13, 2013 12:03:14 AM

How will this effect gasoline good or bad?
Profile Pic
esquared
Champion Author Oklahoma City

Posts:10,116
Points:2,472,520
Joined:Jan 2006
Message Posted: May 12, 2013 11:59:55 PM

Can't be the excuse for raising the pump prices in Okieville!
Profile Pic
tstoney
Champion Author Ogden

Posts:1,234
Points:904,990
Joined:Feb 2011
Message Posted: May 12, 2013 11:59:33 PM

Don't need or want ethanol anyway.
Profile Pic
RBob
Champion Author Portland

Posts:4,661
Points:2,878,455
Joined:May 2004
Message Posted: May 12, 2013 11:58:46 PM

First I have heard of such a shortage on the west coast. This morning they announced the significant price increases were due to fall down of refined product in storage, but then why have they reduced production...and crude supply has gone up? I think the whole issue is called manipulation and price fixing.
Profile Pic
badharley
Champion Author Tampa

Posts:2,830
Points:1,119,415
Joined:Jul 2010
Message Posted: May 12, 2013 11:58:41 PM

Well cut out ethanol.
Profile Pic
snky2k
Champion Author Indianapolis

Posts:3,209
Points:869,735
Joined:Mar 2012
Message Posted: May 12, 2013 11:58:08 PM

BAN ethanol!
Profile Pic
BBHybrid
Champion Author Pittsburgh

Posts:6,530
Points:1,310,075
Joined:Aug 2008
Message Posted: May 12, 2013 11:56:54 PM

ethanol is not the answer
Profile Pic
blazerbob91
Champion Author Milwaukee

Posts:7,089
Points:2,445,820
Joined:Aug 2005
Message Posted: May 12, 2013 11:56:10 PM

The ethanol industry isn't getting all the subsidies they got used to so they have make up artificial shortages.
Profile Pic
bcok
Champion Author Los Angeles

Posts:3,254
Points:1,968,540
Joined:Oct 2005
Message Posted: May 12, 2013 11:55:46 PM

ok
Profile Pic
jrsva
Champion Author Virginia

Posts:12,686
Points:2,217,650
Joined:Jan 2006
Message Posted: May 12, 2013 11:53:56 PM


Too bad the ethanol shortage is not nationwide. Maybe those producers will have to sit around and drink their product . . . .
Profile Pic
ican2step
Champion Author Pittsburgh

Posts:4,166
Points:1,018,850
Joined:Feb 2012
Message Posted: May 12, 2013 11:53:26 PM

ok
Profile Pic
RedskinGas
Champion Author Tennessee

Posts:3,474
Points:1,467,085
Joined:Jun 2006
Message Posted: May 12, 2013 11:50:42 PM

No food for fuel!!!!!
Profile Pic
bill294
Champion Author Chicago

Posts:1,044
Points:888,710
Joined:Mar 2012
Message Posted: May 12, 2013 11:46:00 PM

Free us from ethanol
Profile Pic
bell013
All-Star Author Atlanta

Posts:526
Points:100,275
Joined:Feb 2013
Message Posted: May 12, 2013 11:45:18 PM

Go away Ethanol
Profile Pic
Canucktree
Champion Author Alberta

Posts:6,973
Points:1,556,925
Joined:Dec 2008
Message Posted: May 12, 2013 11:42:09 PM

We'll see overall.
Profile Pic
rawdog1313
Champion Author Lexington

Posts:4,878
Points:2,024,695
Joined:May 2008
Message Posted: May 12, 2013 11:40:39 PM

OK........
Profile Pic
357revo
Champion Author Pittsburgh

Posts:21,333
Points:2,987,955
Joined:Sep 2006
Message Posted: May 12, 2013 11:39:20 PM

Dump ethanol mandates.
Profile Pic
0to60in6
All-Star Author Idaho

Posts:660
Points:802,600
Joined:Jun 2012
Message Posted: May 12, 2013 11:38:26 PM

Supplies are not tight enough.
Profile Pic
gilfarm
Champion Author Alabama

Posts:9,343
Points:2,543,095
Joined:Sep 2005
Message Posted: May 12, 2013 11:37:52 PM

Tried of being forced to use it!
Profile Pic
NemoIL
Champion Author Illinois

Posts:5,287
Points:1,864,895
Joined:Aug 2008
Message Posted: May 12, 2013 11:36:56 PM

Ethanol is a bad fuel that damages engines.
Post a reply Back to Topics