Crush spreads for corn ethanol are improving, according to the owners of Absolute Energy, who opened a 100 Mgy plant in Iowa last week. The crush spread, akin to the “crack spread” used to quickly determine the difference between crude oil and refined gasoline, has increased to $1.01 per gallon, according to Absolute, using the $2.17 September price for ethanol, a $5.06 September per bushel corn price and a yield of 2.8 gallons per bushel. Using an $180 per ton price for distillers grains, the spread increases to $2.67 per gallon.
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