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Ethanol supply raises concerns for Baltimore-Area fuel suppliers

According to Tom Kloza, the global head of energy analysis at OPIS, a Dow Jones company, Baltimore’s Port isn’t a significant center for crude oil or fuel distribution. However, local suppliers and marketers are anxious about the availability of ethanol, which constitutes 10% of the total finished gasoline.

Kloza explained that most refined products reaching the Baltimore area rely on the Colonial Pipeline, suggesting that inventories of gasoline variants like RBOB and CBOB, along with ultra-low sulfur diesel, aren’t expected to pose a challenge. He also noted that the majority of jet fuel consumed in the region is transported via the Colonial Pipeline.

Nevertheless, Kloza pointed out that the region typically receives ethanol supplies via barges, and the uncertainty surrounding when barge traffic can resume raises concerns for fuel suppliers.

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