Alto Ingredients Inc (ALTO)

[kel4]

Link+Explaination of How PEIX Gets RIN+Ethanol Price

the blender is buying a gallon of ethanol and a RIN for the gallon price and the RIN price - later when blended,blender will get the money back.

Blender is doing this job for the EPA :)

Copy:

The price of the biofuel has to rise to Pproducer to solicit the extra production from the
biofuels producers, while the biofuels price must fall to Pblender to encourage greater blender
purchases. The RIN’s core value would be equal to the gap between these two prices, Pproducer
minus Pblender. However, the blender must pay the full price of Pproducer, which includes both Pblender
plus the RIN’s core value, to acquire the mandated QRFS.

http://www.fas.org/sgp/crs/misc/R40155.pdf