FOR IMMEDIATE RELEASE: February 15, 2006

CONTACT: Becky Grisham, Missouri Corn Growers Association, (573) 893-4181

ETHANOL LEGISLATION ON THE MOVE IN MISSOURI

(JEFFERSON CITY, Mo.)—Feb. 14 proved to be a sweet day for ethanol as members of the Missouri House Agriculture Policy Committee unanimously approved legislation to establish a statewide renewable fuel standard. The Missouri Corn Growers Association (MCGA) applauded committee members for moving forward House Bill 1270 & 1027, which will require nearly all gasoline sold in the state contain 10 percent ethanol.

"Legislators at the Missouri State Capitol are making it known that they are serious about energy independence," said Gary Marshall, MCGA chief executive officer. "The Missouri Corn Growers Association is pleased that state leaders have taken this critical first step in providing Missourians with a locally refined fuel that is not only cost competitive, but is also better for the environment and spurs economic growth."

To allow ample time for implementation, this Missouri Renewable Fuel Standard (MoRFS) measure would take effect Jan. 1, 2008. Exemptions for motorboats, antique vehicles and aviation fuel have been included, as well as compromise language to address supply concerns of small and independent petroleum marketers. In the unlikely event that ethanol is unavailable, terminals would issue an affidavit to marketers verifying an insufficient supply, thereby temporarily allowing the sale of unblended gasoline. The supply waiver would expire Dec. 31, 2008.

Legislators and farmers alike realize the positive impact that the legislation will have on Missouri's rapidly expanding ethanol industry. "This measure would pry open the market for approximately 300 million gallons of ethanol," said Terry Hilgedick, a producer from Hartsburg, Mo., and MCGA president. "To meet demand created by the MoRFS, this state's ethanol production is poised to double in the next two years. The renewable fuel standard will provide a catalyst for the development of these economic engines."

According to a recent University of Missouri economic impact study, ethanol production in Missouri is expected to reach 350 million gallons annually by the end of 2008. This growth would create 5,613 jobs, generate $63 million in tax revenues and inject an estimated $726 million into the state's economy.

"We can either utilize a crop that is grown in our own backyard or we can continue to support costly crude oil from foreign lands," summarizes Hilgedick. "To me, the choice is clear."

The MoRFS will now be referred to the Rules Committee for review and placement on the House calendar. To track this legislation as it moves through the Missouri House of Representatives, visit www.house.mo.gov. For more information, please call 1-800-827-4181 or visit Missouri Corn Online at www.mocorn.org.