FORM 8-K
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934.
Date of Report (Date of earliest event reported) May 18, 1999.
HIGH PLAINS CORPORATION
(Exact name of registrant as specified in its charter)
Kansas #1-8680
(State or other jurisdiction of (Commission File
incorporation) Number)
200 W. Douglas #48-0901658
Suite #820 (IRS Employer
Wichita, Kansas 67202 Identification No.)
(Address of principal
executive offices)
(316) 269-4310
(Registrant's telephone number)
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Item 5 Other Information
Wichita, Kansas - May 18, 1999 - A National Research Council (NRC) Report,
released this month, "demonstrates the importance of oxygenates, such as
ethanol, in reducing harmful air pollution from vehicles," stated Gary Smith,
President and CEO of High Plains Corporation (NASDAQ:HIPC). The Report notes
that ethanol reduces toxic emissions from vehicles, such as benzene, a known
carcinogen. Reduced toxic emissions are one of the most important benefits
of the reformulated gasoline (RFG) program.
The Report, entitled, "The Ozone-Forming Potential of Reformulated Gasoline,"
examines methods for assessing the air-quality benefits of fuels, including
ethanol, for the reformulated gasoline program. According to the NRC, more
than 20% of vehicle-related ozone pollution comes from carbon monoxide.
While the Report concludes that the bulk of air quality benefits to date have
come from volatile organic compound (VOC) emission reductions, a conclusion
disputed by both EPA and High Plains, the Report does suggest that CO
emissions will play an increasing role in contributing to ground-level ozone
formation as other emissions from vehicles, primarily VOCs, continue to
decline.
"Ethanol is the most effective means of reducing carbon monoxide," said
Smith. "Just look at the success of ethanol in the nation's CO non-
attainment areas. Ethanol use is directly responsible for reducing the
number of non-attainment areas from 42 to 17," Smith concluded. EPA agrees.
At a recent Congressional hearing on the reformulated gas program, EPA
Assistant Administrator for Air and Radiation, Bob Perciasepe, stated that
reformulated gasoline "is a cost-effective way to reduce ozone
precursors...when compared to other air quality measures."
The NRC Report also recognizes the importance of reducing emissions from
high-emitting vehicles that account for 7% of the vehicle fleet but
contribute more than 50% of the total CO and VOC emissions. The Report
states that "the use of oxygenated fuels in those vehicles will be of the
greatest benefit by reducing the exhaust emissions of CO and VOCs by
approximately 20%." Smith added that the use of 10% ethanol-blended fuels,
with their higher oxygen content relative to MTBE fuels, "is the most
effective way to assure emissions reductions from these high-pollution
vehicles."
The NRC acknowledges that there are air quality benefits to the use of RFG
which result from lower reduced sulfur, olefin and aromatic content levels in
gasoline. "It is important to recognize that it is the addition of
oxygenates, such as ethanol, that allow refiners to reduce these components
to the levels that are providing air quality benefits. Without the addition
of oxygenates, such as ethanol, harmful components of gasoline will increase
and air quality will surely suffer," Smith emphasized.
The National Research Council was organized by the National Academy of
Sciences in 1916. The NRC is administered jointly by the National Academy of
Sciences, the National Academy of Engineering and the Institute of Medicine.
A copy of the Report can be obtained by calling the NAS Office of News and
Public Information, 202-334-2138.
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Based in Wichita, Kansas, High Plains Corporation is among the Nation's
largest producers of ethanol. The Company operates production facilities in
Colwich, Kansas; York, Nebraska; and Portales, New Mexico.
This press release contains forward-looking statements that are made pursuant
to the safe harbor provisions of the Private Securities Litigation Reform Act
of 1995. Investors are cautioned that all forward-looking statements involve
risks and uncertainties, including without limitation risks of fluctuations
in feedstock commodity prices, changes in the market prices or demand for
motor fuels and Ethanol, legislative changes regarding air quality, fuel
specifications or incentive programs, as well as general market conditions,
competition and pricing. The Company believes that forward-looking
statements made by it are based upon reasonable expectations. However, no
assurances can be given that actual results will not differ materially from
those contained in such forward-looking statements. Additional information
concerning these and other factors is contained in the Company's Securities
and Exchange Commission filings, including its annual 10K, Proxy Statement,
and quarterly 10Q filings, copies of which are available from the Company
without charge.
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant had duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
Date: May 18, 1999 HIGH PLAINS CORPORATION
/s/Gary R. Smith
President & CEO
