Ethanol supply remains bottled up in the Midwest as shippers struggle to stock the East Coast while tanker railcars are stranded due to adverse weather conditions.
"Tank cars, once they are sent East, got stuck and are not coming back," commented a Midwest railroad industry source, adding a couple of Midwest producers are starting to store product instead of shipping it.
"The cold weather just seems to slow up the railroads," commented Mike Barwig, Tenaska Biofuels of Omaha, Neb. "Shippers don't have empties to load. The producers have nowhere to go with ethanol."
New York Harbor barge ethanol was up 1.5 cents this morning, trading at $2.60 per gallon, while ethanol at the Argo hub near Chicago dropped 2.5 cents to $205.5 per gallon.
Myke Feinman can be reached at email@example.com
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