Tuesday, May 24, 2011

GPRE Reports

Corn oil extraction initiative has been a "significant positive event" for GPRE. [2:30-2:40]

Seeing an increase in net of 8-9 cents/pound for DDGs to around 35cents/pound net for Corn Oil. 

". . . surpassing our expectations. . . " 

They previously expected with an $18M investment they would get an $18M annual return.  Now looking at an annual return of $25-$30M on corn oil!  They expect to see 100m to 125 million ponds of corn oil production from their 9 ethanol plants.  ". . .very excited about that as well . . ."

Hear HERE

Most of corn oil information: [16:14 to 17:25]

SkunK

New to GERS?  Here is GPRE release (republished by GERS)  and Here is the GPRE release (published by GPRE) - note 4th paragraph. 

8 comments:

nobody123789 said...

Any one hear the cash register at GERS central ringing? Nothing gets clients like the increased potential for more money.

nobody123789 said...

Skunk,

That is a link to GERS.

Anonymous said...

Cha-Ching!!!!!I hear it!

Thanks Skunk - Great news.

Anonymous said...

I'm just waiting for GPRE to announce they're using an emulsion breaker additive and that expected oil extraction will be north of 1/4 billion pounds.

Anonymous said...

Skunk, slash, etc. i have a question for you. if GPRE extract about 100m pounds of corn oil..that equates to about 12million gallons, yes? 12 millions gallons x $3.6/gallon is much higher than 25 million annual return.

12million x $3.60 = 43 million

is my calc wrong?
is 3.6 dollars a gallon a good estimate?
maybe its prorated for 2011 since not all plants were up and running with COES in jan?

Thanks if you can help.

BillV said...

Just a guess, but:
43M - 18M(investment) = 25M return

Anonymous said...

Is my math correct?
125 million pounds at 9 plants with capcaity of 730 million gallons, gives oil recovery of about 0.45#/bu, about half what GERS says it should yield. So, will numbers actually be double?
Also, when considering return on investment, reduce income by 15 or 20% depnding on royalty agreement with GERS and also reduce income by cost of additives.

The Galatian Free Press said...

My analysis suggests that even the 125 million pounds per year figure is still a significant underestimate.

That will be revised higher, again, in my opinion.

 
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