Thursday, February 09, 2006

Ethanol Good for your portfolio?



Seems like a good idea to me. These company's could become the Exxon of an economy independent of foreign oil. I like Archer Daniels Midland myself because they are so big and can afford to put the research dollars into ethanol. They also have the expertise in moving and finishing the soybeans, corn, and sugar that it will take to make ethanol.

Still ethanol isn't cost effective and relies on government subsidies. However if Iran gets sanctioned, oil will go through the roof and powering your car with corn stalks and things will start to sound like a good idea. Here is their webpage. Those school lunches look unappetizing though.

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