Valero says all 7 ethanol plants at capacity

Reuters UK
Tue Jul 21, 2009 9:27pm BST

WASHINGTON, July 21 (Reuters) - Top U.S. oil refiner Valero Energy Corp (VLO.N) said all seven of the ethanol plants it bought in March from a bankrupt producer were now running at capacity and making money.

"Ethanol is kind of a bright spot for us right now. They are generating cash flow," Valero spokesman Bill Day said of the plants, which have the combined capacity of about 780 million gallons a year, or about 7.5 percent of the total U.S. operating capacity to make the fuel.

Valero began production at the 110-million-gallon-per-year ethanol plant in Welcome, Minnesota, during the first week of July, Day said by telephone.

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