The head of the world’s largest ethanol producing company was keynote speaker at 12th Annual Farm Journal Forum in Washington D.C. today.
POET CEO Jeff Broin says his company is considering various options to purchase ethanol plants, although he would not specifically comment on rumors that they might buy the bankrupt VeraSun or any of its assets.
“There are a lot of opportunities out there. We have looked at dozens of options over the last six months and we will continue to look at all of the options,” Broin said.
Broin remains optimistic about the ethanol industry despite shrinking margains that are now making ethanol more expensive than gasoline.
“I’ve personally produced ethanol at $10 per barrel oil,” Broin said. “At $4 corn, we can beat $60 oil prices. As oil falls below that it will have some effect on grain prices.” Today oil futures were $47 a barrel while December corn futures were just over $3.48 a bushel.
While the short term may look bleak, Broin says long term he expects to see a very successful industry.