In New York, renewable fuels equities surged on Friday after the EPA issued its proposed 2013 Renewable Fuel Standard mandates – including boosts for corn ethanol, biomass-based diesel and cellulosic biofuels.
The Biofuels Digest Index, a basket of public biofuels stocks, jumped 2.07 percent to an 9-month high of 70.09 as shares in Solazyme, Renewable Energy Group. Pacific Ethanol, Novozymes, KiOR, Green Plains Renewable Energy. Ceres, Biofuel Energy, and Amyris jumped between 1.49 and 5.56 percent on the news — Amyris shareholders were also reacting to the first shipment of biofene.
“Only a handful of U.S. cellulosic biofuel plants will be operational in 2013,” wrote Raymond James’ energy analysts in a note to clients, “one of them being the Columbus plant of KiOR (KIOR/$5.50/Outperform). Importantly for companies like KiOR, the EPA’s decision ensures that cellulosic sales this year will benefit from the price premium provided by Renewable Identification Number (RIN) credits.”
More background on the story from the Digest
Category: Producer News