Wednesday, November 18, 2009

Maybe cellulosic ethanol is for real?

Gains made in cellulosic ethanol, but still corn-driven. Isn't it time to reduce the dependence on the corn economy?But corn cob as feed?

Just finished an interesting piece on POET's advances in cellulosic ethanol. In a nutshell production costs have dropped from $4.13 to $2.35, but POET believes they can be further reduced to $2.00 per gallon when commercial production begins.

That's not bad compared to today's gasoline prices. Still, how much feedstock is available for such an application when it is still very corn-intensive? If corn demand goes up, won't these prices eventually go up?

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