HAPPY TUESDAY READERS!

Readers from the Jonesboro area in Jackson Parish, I received an e-mail today from a customer that Woolys One Stop - Conoco at 1799 South Hudson Avenue has converted to ethanol gas. The stations tanks and pumps are owned by McCartney Oil. I spoke with them and confirmed the report. McCartney told me that since they can no longer get ethanol free gas from the Arcadia Terminal (because Marathon Oil stopped selling ethanol free gas in late June) they had to make the switch. That now makes a total of 65 stations, grocery and convenience stores that have converted to ethanol gas since Marathon stopped selling ethanol free gas. I really believe they will regret their decision.

I posted a new link on my website's "Links" page. It is under the section titled "Other Links of Interest". The website is called "Etha-Test". It's a website operated by a reader in Covington. He sells ethanol gas test kits. The kit price is $8.95.......that's a pretty good price. His website address is: http://www.bidlist.org/Etha-Test/

Check it out!

Thought you might be interested in reading this article about corn prices and ethanol costs escalating.......may make it much more difficult economics for refineries to blend so much of their gasoline as ethanol gas when they lose their "golden goose" $0.45/gallon tax credit next year!

As you read this, keep in mind that before the Feds began pushing ethanol gas, corn was selling for about $1.75/bushel. Note the current price towards the end of the article. Is it any wonder why all food products made from corn has skyrocketed in price over the past 3 years or so?

Ethanol Increases as Government Reduces Corn Supply Projection

QBy Mario Parker - Sep 12, 2011 3:06 PM CT

Ethanol futures increased in Chicago after the U.S. government reduced its outlook for the nation’s corn supply, threatening higher production costs for the biofuel.

Futures gained after the Agriculture Department said corn production will total 12.497 billion bushels (317.4 million metric tons), less than the 12.914 billion forecast in August. The grain is used to manufacture ethanol in the U.S.

“Ethanol’s higher and that definitely has something to do with corn,” said Jim Damask, a manager at BiofuelsConnect, a Jupiter, Florida-based alternative energy broker. “Ethanol is up just because the feedstock’s up. Corn stocks are pretty tight.”

Denatured ethanol for October delivery advanced 1.7 cents, or 0.6 percent, to $2.781 a gallon on the Chicago Board of Trade, the highest price since Sept. 7. Futures have gained 41 percent in the past year.

In cash market trading, ethanol in the U.S. Gulf was unchanged at $2.925 a gallon and on the West Coast the additive jumped 4.5 cents, or 1.5 percent, to $3.01, according to data compiled by Bloomberg.

Ethanol in New York added 3 cents, or 1 percent, to $2.95 a gallon and in Chicago the biofuel rose 2 cents, or 0.7 percent, to $2.825.

Corn for December delivery climbed 9 cents, or 1.2 percent, to $7.455 a bushel in Chicago. One bushel makes at least 2.75 gallons of ethanol.

"Pete" Comments are welcome at way2gopete@yahoo.com