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Subject:Friday - Ethanol Production Costs
From:Jeffrey Olson
Date:Fri, 21 Apr 2006 08:01:34 -0600

It's interesting to read how ethanol is being touted as one major avenue
to energy independence.  While it is but one strategy amongst many,
there is a wealth of literature out there that demonstrates more energy
is consumed producing a gallon of ethanol - 71% by one 1998 source -
than is generated when ethanol is burned.

http://hubbert.mines.edu/news/Pimentel_98-2.pdf

With the rise in gasoline costs, ethanol becomes more attractive.  Yet
there is substantial use of oil based products in corn production and
those costs are rising too.  It would be interesting to see at what
point the cost of a gallon of gasoline and a gallon of ethanol is the
same.  Perhaps we've already reaching the tipping point...?

Jeff Olson
Martin, SD

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