In Texas, Celanese Corp. announced it would produce low-cost ethanol for US motorists using natural gas if US policy makers end subsidies for corn-based production and amend the law that allows only renewable sources of the fuel additive.

Celanese currently produces ethanol from natural gas for approximately $60 a barrel, one-third less than the corn-based process that has been encouraged by a 45-cent-a-gallon federal subsidy. Celanese has already begun to build a demonstration plant and research center in Clear Lake, Texas, where it plans to begin production in mid-2012.

The Company is also pushing to amend legislation on the Energy Independence and Security Act to allow gas-derived ethanol.

source: biofuelsdigest

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