ethanol stuff. excerpts: renewable energy fortune to be made.
And hot enough for President Bush to specifically mention it during his State of the Union Address on January 31...
"We must also change how we power our automobiles...We'll also fund additional research in cutting-edge methods of producing ethanol, not just from corn, but from wood chips and stalks, or switch grass. Our goal is to make this new kind of ethanol practical and competitive within six years."
Remember, the energy bill passed by Congress just last year requires an increase in ethanol use to 7.5 billion gallons by the year 2012. That's nearly double the current total of roughly four billion gallons per year!
At this very moment, ethanol - and the entire renewable energy market - are exploding with interest, venture capital money, Wall Street funds, and incentives by state, local and federal governments.
making ethanol out of alternative sources.
So instead of producing ethanol from corn - as is most common - this company is using materials such as candy waste, cornstalks, grass clippings, newspapers and sawdust.
It's called cellulosic bioethanol...and it has all sorts of advantages.
First and foremost, the materials they're using to produce ethanol are cheap and abundant, whereas corn is subject to supply problems and wild price swings.
Just in Iowa alone, there's enough corn-based biomass (stalks, leaves and husks) to support 600 million gallons of ethanol production.
in the event that corn prices rise suddenly - a very real possibility, as you'll soon see - the company I'm recommending could very well become the only game in town.
Why would that happen?
Because U.S. government forecasters have recently gone on record calling for the drought that has plagued a good deal of the Southwest and the central and southern plains to continue - and perhaps even worsen - through at least June.
At a mid-March press conference, David Johnson, director of the National Weather Service, warned that, "We need to monitor this drought situation very closely."
But not only do forecasters and farmers need to monitor this situation...so do those investors expecting easy profits from "traditional" ethanol stocks.
"Corn-based" ethanol companies could take a terrible beating as the price of corn rises. And there's no telling just how severe this drought might be.
If corn is in short supply - or priced at excessively high levels - corn-based ethanol production could be forced into a massive
alternative materials - including waste products, wood chips and candy waste - they'll continue production completely unaffected by the drought or by a decrease in the supply of corn.
Given the soaring demand for ethanol, the value of this company - thanks to its revolutionary technology - could skyrocket quickly in the event of a drought.
After all, the ethanol needed to comply with legislation is going to have to come from somewhere. And if corn-based ethanol producers are struggling to meet demand due to rising production costs...our trade will look even sweeter!
The Government "Secret" That's Just Like Money in the Bank!
There is absolutely no question that right now is the best time to own renewable energy stocks. From the CEOs of Chevron-Texaco and British Petroleum to Wall Street brokerage houses and mainstream media outlets...everybody is talking about renewable energy.
But here's the key - the renewable energy bull market is still very much in its infancy.
Even more importantly, the renewable energy market has just entered a long-term phase of fast-moving gains.
This sets up perfectly, of course, for "hit and run" traders who are interested in making a year's worth of gains in as little as a week or two - week after week.
But it gets even better...
Renewable energy stocks are now prime candidates for quick trades thanks to a government "secret" that's as reliable as Old Faithful.
Every time a State government debates or passes a renewable energy bill, I'm finding more and more stocks that rally around the news.
And guess what? There are no less than 25 State initiatives pending regarding renewable energy.
That means, there's going to be at least 25 separate occasions to make quick, easy trading profits in the weeks and months ahead. And I'll guide you to them, every step of the way.
The most recent one was the State of Washington, which passed a renewable energy-ethanol bill on February 13 - and this is a perfect example.
Caspermick
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