Ethanol Blog
Myke Feinman Refine Fuels Reporter

Wednesday 03/27/13

Ethanol RINs Continue to Drive Biodiesel RIN Prices

Analysts and trade sources say ethanol D6 Renewable Identification Numbers continue to provide support for or exert pressure on biodiesel D4 RINs. RINs are the credits utilized by refiners, blenders and importers to show compliance with the Renewable Fuel Standard.

On March 25, ethanol 2013 D6 RINs dropped in value, pressuring 2013 D4 biodiesel RINs, with both markets quiet and prices flat March 26. "Ethanol RINs are dragging (biodiesel RINs) down," a biodiesel broker said March 25.

Ethanol D6 2013 RINs traded $1.10 two weeks ago, but have since dropped back to 64.0 cents March 26 afternoon. Biodiesel D4 RINs, with one D4 RIN equivalent to 1.5 D6 RINs, were a few cents higher than D6 RINs, ranging between 68.0 cents and 76.0 cents that day. Early March 27, D4 biodiesel 2013 RINs traded at 77.0 cents while D6 2013 ethanol RINs ranged between 65.0 cents and 68.0 cents.

"Previously, biodiesel prices were artificially high because of the ethanol RIN prices," commented Michael Walker, Quantitative Analyst, Augsburg Energy Ramsey, N.J., on March 26 afternoon. "The biodiesel 2013 RIN premium over ethanol 2013 RINs has been relatively stable between 7.0 to 9.0 cents, indicating that they follow each other well."

Myke Feinman can be reached at

Posted at 2:39PM CDT 03/27/13 by Myke Feinman
Post a Blog Comment:
Your Comment:
DTN reserves the right to delete comments posted to any of our blogs and forums, for reasons including profanity, libel, irrelevant personal attacks and advertisements.
Blog Home Pages
July  2015
         1 2 3 4
5 6 7 8 9 10 11
12 13 14 15 16 17 18
19 20 21 22 23 24 25
26 27 28 29 30 31   
Subscribe to Ethanol Blog RSS
Recent Blog Posts
  • Grains Council Team Educates Southern Mexico Cattle Industry
  • Spot Ethanol Values Boosted by Corn Futures Rally
  • Energy Pressure Follows Weaker Stock Market
  • Argo, NYH Spot Ethanol Edge Lower With Corn, RBOB Futures
  • DDG Price Decline Slows Amid Sluggish Trade
  • Argo, NYH Spot Ethanol Trade Higher on Corn Futures Rally
  • Spot Ethanol Price Gains Backed by Corn Futures Rally
  • Grains Council Educates Japanese Swine Producers on DDGS
  • Uncertainty Seen in Ethanol Market Direction
  • Spot Ethanol Prices Higher on Falling Ethanol Stocks
  • Corn Rally Draws Ethanol Support
  • Spot Ethanol Prices Track Corn Futures Higher
  • Chinese Trade Disruptions Result in DDG Price Plunge
  • Ethanol Futures Close Week Higher
  • Conference: Aquaculture Must Diversify Feed Ingredients
  • Spot Ethanol Prices Soften on Rising Supply
  • Spot Ethanol Prices Mixed on Weekly EIA Supply Data
  • New York Spot Ethanol Biggest Gainer as Market Rebounds
  • China Rumors Worry DDG Market
  • Ethanol Futures Follow Outside Markets Lower