1.5 billion gallons of US capacity idled by gasoline price collapse: report

ENN is reporting on the expected consolidation among the 172 ethanol refineries in the US, reporting that a total of 16 ethanol plants have been idled in the past 2 months due to market price conditions since the collapse of oil prices. The idled capacity of the affected plants is 1.5 Bgy according to the report, with total US capacity at 10.5 Bgy. The report said that ethanol margins collapse will force a cancellation of numerous new projects, and projected a 10 percent decline in demand for industrial ethanol.

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