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Actual ethanol market share by producer and why financial analysts should thank the State of Nebraska
It was nearly impossible to determine the net market size of the US ethanol market and the relative market share by player...until now. We provide these hard to find statistics, with help from our friends in Nebraska!
I was going to estimate the market share of the US Ethanol market by producer, after doing hours of research. I read the authoritative Federal Trade Commission report on Ethanol Industry concentration for 2011, which was not easy to find. I’ll save you some time here, in case you are in a similar situation. FTC 2011 Report on Ethanol Market Concentration
The FTC uses a Herfindahl-Hirschman Index [(“HHI”)] to assess competitiveness of a market. In the 2011 report, they used 6 HHI measures, breaking them out by producers, marketers, and combined measures. HHIs ranged from 284 to 601, indicating that the U.S. fuel ethanol production industry is unconcentrated, and no one firm has sufficient pricing power to define market prices.
In the report, the FTC indicated that the total US ethanol production rate was 13.7 MMgy in 2011, and the largest US producer had a market share of 11.5%. The FTC then disclosed that:
EIA provided only the aggregated HHI figures to FTC staff and did not disclose the underlying confidential data or market shares.
This disclosure made me think that I’d have to aggregate a number of disparate public sources to determine relative market share.
However, just after I had started compiling some of the larger players market shares from company reports and SEC filings, I stumbled upon a deeply hidden gem. The state government of Nebraska published a 2011 breakdown of Ethanol production by state and producer. I’ll again save my readers some valuable time by posting this tremendous asset here: Ethanol Production Capacity by Plant [credit: State of Nebraska]. Using this data, I was able to compile a complete list of US Ethanol producers, and their 2011 actual market share, based on 2011 production.
Thank you State of Nebraska!
POET has been linked to 2012 IPO discussion, Archer Daniels Midland (ADM) does not provide pure ethanol exposure nor does Valero (VLO) due to their business diversification. Green Plains Renewable Energy (GPRE), is more of a pure ethanol play, and is a member of Groundbreaking Energy's BioIndex.
Full Data Table (source, Official Nebraska Government Website: http://www.neo.ne.gov/statshtml/122.htm)
POET | 11.8% |
Archer Daniels Midland | 10.2% |
Valero Renewable Fuels | 8.2% |
Green Plains Renewable Energy | 5.3% |
Flint Hills Resources LP | 3.2% |
Abengoa | 2.7% |
Aventine | 2.3% |
The Andersons | 2.0% |
White Energy | 1.9% |
Big River Resources | 1.7% |
BioFuel Energy | 1.7% |
Cargill, Inc. | 1.7% |
Glacial Lakes Energy | 1.5% |
ABE | 1.3% |
Guardian Energy | 1.2% |
Marquis Energy, LLC | 1.1% |
Tharaldson Ethanol | 1.1% |
Pacific Ethanol | 1.1% |
Louis Dreyfuss Commodities | 1.0% |
Absolute Energy, LLC | 0.8% |
Golden Grain Energy, LLC | 0.8% |
Sunoco | 0.8% |
Arkalon Energy, LLC | 0.8% |
Big River United Energy | 0.8% |
Bional Clearfield | 0.8% |
Hankinson Renewable Energy, LLC | 0.8% |
NuGen Energy | 0.8% |
Platinum Ethanol, LLC | 0.8% |
Southwest Iowa Renewable Energy, LLC | 0.8% |
Siouxland Ethanol, LLC | 0.8% |
Murphy Oil | 0.8% |
Tate & Lyle | 0.8% |
New Energy Corp. | 0.7% |
Cardinal Ethanol | 0.7% |
Heartland Corn Products | 0.7% |
Homeland Energy | 0.7% |
Illinois River Energy, LLC | 0.7% |
One Earth Energy | 0.7% |
Patriot Renewable Fuels, LLC | 0.7% |
Southwest Georgia Ethanol, LLC | 0.7% |
Little Sioux Corn Processors, LP | 0.7% |
Husker Ag, LLC | 0.5% |
Chief Ethanol | 0.4% |
Calgren Renewable Fuels, LLC | 0.4% |
Corn, LP | 0.4% |
KAAPA Ethanol, LLC | 0.4% |
Aemetis | 0.4% |
Amaizing Energy, LLC | 0.4% |
Bonanza Energy, LLC | 0.4% |
Highwater Ethanol, LLC | 0.4% |
Kansas Ethanol, LLC | 0.4% |
Lincolnway Energy, LLC | 0.4% |
Pinal Energy, LLC | 0.4% |
Show Me Ethanol | 0.4% |
Bridgeport Ethanol | 0.4% |
Bunge–Ergon Vicksburg | 0.4% |
Center Ethanol Company | 0.4% |
United WI Grain Producers, LLC | 0.4% |
AGP | 0.4% |
Granite Falls Energy, LLC | 0.4% |
United Ethanol | 0.4% |
Badger State Ethanol, LLC | 0.4% |
Blue Flint Ethanol | 0.4% |
Bushmills Ethanol, Inc. | 0.4% |
Carbon Green Bioenergy | 0.4% |
Central Indiana Ethanol, LLC | 0.4% |
Dakota Ethanol, LLC | 0.4% |
E Energy Adams, LLC | 0.4% |
Heron Lake BioEnergy, LLC | 0.4% |
Lifeline Foods, LLC | 0.4% |
Marysville Ethanol, LLC | 0.4% |
Mid–Missouri Energy, Inc. | 0.4% |
Plymouth Ethanol, LLC | 0.4% |
Red Trail Energy, LLC | 0.4% |
Redfield Energy, LLC | 0.4% |
Western New York Energy, LLC | 0.4% |
Corn Plus, LLP | 0.4% |
Lincolnland Agri–Energy, LLC | 0.3% |
Utica Energy, LLC | 0.3% |
Adkins Energy, LLC | 0.3% |
Al–Corn Clean Fuel | 0.3% |
Chippewa Valley Ethanol Co. | 0.3% |
Nebraska Corn Processing, LLC | 0.3% |
Penford Products | 0.3% |
Western Plains Energy, LLC | 0.3% |
Mid America Agri Products/Wheatland | 0.3% |
NEDAK Ethanol | 0.3% |
Sterling Ethanol, LLC | 0.3% |
ACE Ethanol, LLC | 0.3% |
Cornhusker Energy Lexington, LLC | 0.3% |
Didion Ethanol | 0.3% |
Front Range Energy, LLC | 0.3% |
Grain Processing Corp. | 0.3% |
Iroquois Bio–Energy Company, LLC | 0.3% |
Levelland/Hockley County Ethanol, LLC | 0.3% |
Prairie Horizon Agri–Energy, LLC | 0.3% |
Trenton Agri Products, LLC | 0.3% |
Yuma Ethanol | 0.3% |
East Kansas Agri–Energy, LLC | 0.3% |
Commonwealth Agri–Energy, LLC | 0.2% |
Pine Lake Corn Processors, LLC | 0.2% |
Quad–County Corn Processors | 0.2% |
Midwest Renewable Energy, LLC | 0.2% |
DENCO II, LLC | 0.2% |
Central MN Ethanol Coop | 0.2% |
GEVO | 0.2% |
North Country Ethanol, LLC | 0.1% |
Reeve Agri–Energy | 0.1% |
Nesika Energy, LLC | 0.1% |
Renova Energy | 0.1% |
Parallel Products | 0.0% |
Golden Cheese Company of California | 0.0% |
Idaho Ethanol Processing | 0.0% |
Merrick & Company | 0.0% |
Land O’Lakes | 0.0% |
BP Biofuels North America | 0.0% |
ESE Alcohol Inc. | 0.0% |
KL Process Design Group | 0.0% |
Summit Natural Energy | 0.0% |
Wind Gap Farms | 0.0% |
Alchem Ltd. LLP | 0.0% |
AltraBiofuels | 0.0% |
Cascade Grain | 0.0% |
Gateway Ethanol | 0.0% |
Minnesota Energy | 0.0% |
Osage Bio–Energy | 0.0% |
Spectrum Business Ventures Inc. | 0.0% |
Total Result | 100.0% |
March 11, 2012