A 14-million-gallon/year facility for 95% ethanol production from sugarcane molas­ses was technically the easiest production process to design and cost in the 1970s (table 5.3). To simplify even further, although coproducts (CO2 and fusel oils) were considered, no economic calculations were made for these; sale of the yeasts grown in

the fermentations were, however, included to effect a cost reduction of approximately 6.5%. The final calculated manufacturing price of 95% ethanol was $0.995/gallon, “a cost which is today very comparable to producing alcohol from ethylene.”12

Of the production costs, the raw material molasses was the dominating factor, accounting for 63% of the total — no exact geographical location for the hypotheti­cal facility was given but the quoted molasses price ($50/ton) was the 1978 summer average of molasses delivered to the East Coast and Midwest of the United States.