As one of the world’s leading bio-refining companies, GTL Resources has beaten the odds and managed to stay viable in the ethanol markets throughout North America and around the world. Ethanol manufacturers have seen their stocks decline over the past few years as biofuels have gone out of fashion, but GTL is still going strong. As recently as June 15, 2011, GTL Resources reported that its 2011 full year financial results have exceeded expectations, perhaps indicating an increased demand for biofuel. As crude prices continue to hover around $100 a barrel, refined ethanol is getting a renewed look from many investors and industrial manufacturers.
London-based GTL Resources was founded in 2006 when green manufacturing was just beginning to take off. It is currently trading at lower than its initial AIM offering, but it has steadily risen since it hit bottom in mid-2009 in the wake of the global recession and lack of interest in biofuels. Recent positive earnings reports are likely to placate investors wary of entering the ethanol markets again, and its steady rise in stock value from an all-time low of under 9p to close to 75p in just one year may convince investors that now is the time to buy.
GTL Resources operates its main refinery just outside Rochelle, IL, in the heartland of the American Midwest. Corn grows in abundance here, making ethanol production easy and affordable. The company has also seen a number of favorable business incentives in the past few years, including a tax incentive extension in late 2010, partially as a result of lobbying after the oil disaster in the Gulf of Mexico. At the forefront of pressing for environmentally friendly legislation, investors and industry analysts predict that GTL Resources will continue to be a powerhouse of green industry for years to come.