Turn Around at West Coast Refineries(Summer Fuel)Slowed Use
in the Last Couple Weeks.
They Pre Sold Inventory at the Hi's According to CC,but
I Did Find This from Yesterday -
Northern California ethanol price hits lowest in nearly six months
Houston (Platts)--6May2014/722 pm EDT/2322 GMT
The Platts Northern California ethanol assessment Tuesday hit its lowest level in nearly six months amid surging supplies and tumbling demand.
Northern California ethanol was assessed 16 cents lower at $2.10/gal for prompt delivery as it was heard traded multiple times at that level and offered at $2.12/gal following the trade, sources said.
The assessment has tumbled $1.97/gal, or 48.4%, since hitting an eight-year high six weeks ago on March 25, when it was at $4.07/gal.
"Sellers don't have a choice but to follow those bids lower," one ethanol broker said. "There's just a ton of material needing to move right now."
US ethanol stocks for the week ended April 25 moved up 694,000 barrels to a nine-month high of 17.212 million barrels, but West Coast stocks actually shrank 63,000 barrels to 1.899 million barrels, the most recent weekly data from the Energy Information Administration showed.
West Coast stocks were at a six-week high in the previous report.
One trader said the news that Pacific Ethanol will restart its 40 million gal/year plant in Madera, California, has also sent a bearish tone throughout the market.
Sacramento-based Pacific Ethanol reported first-quarter production at 39.8 million gal, a 4.5 million-gal increase year on year.
--Jordan Godwin, jordan.godwin@platts.com
--Edited by Richard Rubin, richard.rubin@platts.com
