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Re: puppman post# 11944

Tuesday, 06/05/2007 9:29:15 PM

Tuesday, June 05, 2007 9:29:15 PM

Post# of 15806
e85 flexlube centers - pretty cool actually. Thanks for posting the picture. Looks even better than I imagined it. <g>

Now all we have to do is wait for a hurricane, or geo-political event, whatever, to spike crude/gasoline prices.

I think that the remaining key item holding everything back is price of a fillup. The main reason people will go E85 is if it is seen as the cheaper alternative. This would exponentially amplify the existing base of early adapters who just want the ability to refuse to buy crude oil products that enrich unfriendly foreign governments.

There are some other arguments against ethanol dominating down the road but near term, should be possible to get a nice boost, a relatively sudden inflation of e85 demand in the retail market. Down the road, new developments for ethanol could mitigate concerns about supply shortage of ethanol keeping the price too high. (cellulosic, abatement of tariff, domestic sugar, algae... )