Midwest ethanol prices to fall as Kinder Morgan diverts shipments away from Argo

In Illinois, although ethanol producers have slowed down production rates in line with recently-negative margins, a lack of storage at Kinder Morgan’s Argo facility has forced the company to stop shipping ethanol to the key transportation hub as of noon Tuesday. Instead, it is being diverted to nearby Stony Island for an undetermined amount of time, but even access to nearby storage is likely to pressure prices on the back of all-time stocks record of 7.819 million barrels in the Midwest region.