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EIA: US ethanol production up 9%, stocks fall by 3%

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By Erin Krueger

June 10, 2020

Business Operations 

U.S. fuel ethanol production increased by more than 9 percent the week ending June 5, while weekly ending stocks of fuel ethanol fell by 3 percent, according to data released by the U.S. Energy Information Administration on June 10.

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UNICA, the Brazilian sugarcane industry association, has announced ethanol sales fell by more than 20 percent during the first half of May. Corn ethanol production, however, is up significantly when compared to 2019.

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The U.S. exported 99.38 million gallons of ethanol and 765,635 tons of distillers grains in April, according to data released by the USDA Foreign Agricultural Service on June 4. Exports of both products were down.

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U.S. fuel ethanol production increased by nearly 6 percent the week ending May 29, while weekly ending stocks of fuel ethanol fell by approximately 3 percent, according to data released by the U.S. Energy Information Administration on June 3.

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The U.S. EPA has released updated renewable identification number (RIN) generation data, reporting that 1.05 billion RINs were generated under the Renewable Fuel Standard in April, down from 2.74 billion generated during the same period of last year.

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Stuart Rose, executive chairman of Rex American Resources, announced on May 28 the company's One Earth Energy ethanol plant in Gibson City, Illinois, has resumed operations after idling earlier this year due to market impacts caused by COVID-19.

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U.S. fuel ethanol production increased by more than 9 percent the week ending May 22, while weekly ending stocks of fuel ethanol fell by nearly 2 percent, according to data released by the U.S. Energy Information Administration on May 28.

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The USDA recently released its Grain Crushings and Co-Products Production report for May, reporting that corn use for fuel ethanol production fell to 412 million bushels in March, down from both the previous month and March 2019.

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Sens. Joni Ernst, R-Iowa, and Chuck Grassley, R-Iowa, sent a letter to the FDC on May 26 urging the agency to clarify its temporary policy for the manufacture of alcohol-based hand sanitizer products during the COVID-19 pandemic.

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UNICA, the Brazilian sugarcane industry association, recently released data showing ethanol sales by mills in the country's south-central region were down 29 percent in April. Sales in both domestic and export markets were down.

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U.S. ethanol production for the week ending May 15 was up nearly 8 percent while weekly ethanol ending stocks fell by more than 2 percent, according to data released on May 20 by the U.S. Energy Information Administration.

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European ethanol producer CropEnergies announced on May 13 the company achieved record revenues for the 2019-'20 financial year, which ended Feb. 29. Revenues are expected to fall during the current year, however, due to the COVID-19 pandemic.

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The American Coalition for Ethanol is pleased to announce its 33rd annual conference will be held in conjunction with the rescheduled International Fuel Ethanol Workshop & Expo hosted by BBI International on Aug. 25, in Omaha, Nebraska.

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The RFA on May 15 held a media call to discuss market impacts of COVID-19, recent polling results that show strong support for biofuels, the need for federal relief for biofuel producers, and barriers to hand sanitizer production.

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BBI International and Biodiesel Magazine are pleased to announce that the agenda for the Biodiesel Production Technology Summit, set to take place Aug. 24-26, 2020, in Omaha, Nebraska, has been released and is now available online.

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Eric McAfee, chairman and CEO of Aemetis Inc., discussed steps the company is taking to produce pharmacopeia- and food-grade alcohol and provided updates of the company's advanced biofuel projects during a first quarter earnings call held May 14.

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Patrick Gruber, president and CEO of Gevo Inc., said on May 12 he expects the company's biorefinery in Luverne, Minnesota, to remain idle for the remainder of the year. The company's plant in Silsbee, Texas, however, continues to operate.

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Neil Koehler, president and CEO of Pacific Ethanol Inc., announced on May 13 the company is gradually increasing production as fuel demand increase and margins improve. The company is now operating at approximately 50 percent capacity.

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U.S. ethanol production was up more than 3 percent the week ending May 8 while ending stocks of fuel ethanol fell by nearly 6 percent, according to data released by the U.S. Energy Information Administration on May 13.

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UNICA, the Brazilian sugarcane industry association, recently announced that ethanol revenue for mills in the south-central region of the country was down almost 50 percent during the first half of April due to impacts from the COVID-19 pandemic.

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The U.S. Energy Information Administration increased its forecast for 2020 ethanol production, but lowered its prediction for 2021 ethanol production in its latest Short-Term Energy Outlook, released on May 12.

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A fourth COVID-19 stimulus package known as the HEROES Act was introduced in the U.S. House of Representatives on May 12. The bill includes dedicated relief for biofuels producers by establishing the Renewable Fuel Reimbursement Program.

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Midwest AgEnergy Group, the parent company of the Blue Flint, is evaluating alternative thermal energy and utility options after plans were announced to close Coal Creek Station, a power plant that provides water and steam to Blue Flint.

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U.S. ethanol production was up by more than 11 percent the week ending May 1 while weekly ethanol ending stocks fell by nearly 3 percent, according to data released by the U.S. Energy Information Administration on May 6.

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The Andersons has resumed ethanol production at its ethanol plants in Albion, Michigan, and Denison, Iowa, after idling all five of its ethanol facilities in March due to falling liquid fuel demand caused by the COVID-19 pandemic.

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In these uncertain times, employing the “Now, Near and Next� approach can help companies prioritize investments in technology and innovation. Partnering with vendors and innovators to share in the investment and risk is critical.

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Heron Lake Bioenergy LLC filed an 8-K with the U.S. Securities and Exchange Commission on April 29 announcing the current shutdown of its ethanol plant in Huron Lake, Minnesota, will continue through the end of May.

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Green Plains Inc. released first quarter financial results on May 4. The company announced progress with its Project 24 and high-protein animal feed initiatives and discussed actions it taking as a result of the COVID-19 pandemic.

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Business Briefs

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By Ethanol Producer Magazine

May 03, 2020

Ethanol industry business announcements from the May issue of Ethanol Producer Magazine, including news from ACE Ethanol LLC and D3MAX, the U.S. Grains Council, and ERI Solutions.

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Commonwealth Agri-Energy in Hopkinsville, Kentucky, is using bearings coupled with sensors to monitor vibrations and temperature, giving the ethanol plant yet another cloud-connected, easy-to-install predictive maintenance tool.

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