Question-and-Answer Session
Todd Becker
Yes?
Unidentified Participant
What is the public currency in the (inaudible).
Todd Becker
Our public currency, we’re NASDAQ traded under GPRE. And so, when we can – we can look at – using our currency to make acquisitions from the equity side. A lot of this industry was really built on private investments. And so, there’s not a lot of liquidity out there for these ethanol plants that are basically privately owned. So what we can do is we could provide liquidity by making – doing merger with stock. But again, we’re very selective and we’re not going to dilute our – dilute our current shareholders at today’s price. Yes?
Unidentified Participant
A couple of questions. On the waiver, 15% or a little over 13%, waiver it's tied. Is there a timeline on that? Are there any expectations?
Todd Becker
It’s really between now and the end of the year. I think we have a good chance of getting that through. We have a lot of broad support in Congress for that. Obviously, they’re focused on something else right now, and ethanol waivers aren’t at the top of the list. But you continue to hear the Administration talk about renewable energy and growing renewable energy, and home grown solutions, and that’s what ethanol is today. It is a product that is available today. And I think we have a good chance between now and the end of the year. And I think they’ll phase it in. I think we’ll probably start it at 12% or 13%, and then work up to the 15% waiver. Yes?
Unidentified Participant
Speaking of timelines, any feel or progress on cellulosic ethanol? What do you see there?
Todd Becker
Well, I mean we – again, since we’re not an R&D company, we don’t track it that closely. But we are seeing a lot of progress made. But in order to get through a – to a large scale operation like we do with the corn and ethanol plant, I think we’re at least a couple of years away. And in addition, large scale will not be the same because the volume of material to make the same amount of ethanol is significantly different.
One truck of corn makes 2.7 gallons of ethanol or 2.8 gallons of ethanol, or one bushel of corn makes 2.8 gallons of ethanol, which is 1,500 bushels or 1,000 bushels on a truck. To make that same ethanol, it could take 100 trucks or 500 trucks of cellulosic material. They’ve got a long way to go to get – to get that done. But we are making progress as an industry.
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