Ethanol blends will soon displace large slugs of gasoline demand east of the Rockies, even in markets where EPA's oxygenate mandate does not require the sale of reformulated fuel. Suppliers selling RFG containing 10% ethanol say they are getting calls from jobbers who have never bought RFG before. The reason: Some in conventional markets near RFG areas can buy RFG at a big discount to 87-octane conventional, and thereby pump up retail margins.
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