Gulf Ethanol Corporation (OTC:GFET):
As food prices escalate worldwide, corn based ethanol has been fingered as a culprit along with higher oil prices. Gulf Ethanol announced today that it will not use food-based crops for production of its biofuels. Instead, Gulf Ethanol has begun development of its biomass processor that will process sorghum, switchgrass and other non-food biomass into a cellulose powder that can be converted to ethanol.
“We won’t burn your food,” stated JT Cloud, President of GFET. “The answer to rising fuel prices is not to run away from alternative energy production. It is to move rapidly toward the use of non-food feedstocks that are abundant and cheap,” he noted. “A lot of blame has been pointed at ethanol producers in recent weeks. We are in the business of finding solutions rather than placing blame,” he concluded.
The agricultural implications of using food-based ethanol have wide ranging effects. In addition to higher corn prices, prices for U.S. corn-based products, including animal feed also rise. This translates to higher prices for animal products like chicken, beef, and cheese, for example. Other companies that see the potential of making a greener ethanol are GreenShift (OTCBB: GERS), AE Biofuels (OTCBB: AEBF), Nova Biosource Fuels, Inc. (AMEX: NBF) and BioFuel Energy Corp. (NasdaqGM: BIOF).
About Gulf Ethanol Corporation
Gulf Ethanol is an alternative energy company focused on the development of the cellulosic ethanol industry with a particular emphasis on Texas and the Gulf Coast. For more information please visit our homepage at: www.GulfEthanolCorp.com.
Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: This news release contains forward-looking information within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, including statements that include the words "believes," "expects," "anticipate" or similar expressions. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievements of the company to differ materially from those expressed or implied by such forward-looking statements. In addition, description of anyone's past success, either financial or strategic, is no guarantee of future success. This news release speaks as of the date first set forth above and the company assumes no responsibility to update the information included herein for events occurring after the date hereof.
Contacts:
William Carmichael, 713-461-9229
ir@gulfethanolcorp.com
