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DATE: September 30, 2010 10:28:44 AM EDT

Sunoco supports the development of sustainable biofuels

Sunoco supports the development of sustainable biofuels as a way to increase fuel supply in our country. Corn-based ethanol will likely remain a part of the fuel mix, but isn’t a perfect long-term solution. We’re concerned about the sustainability of food-crop based fuels due to the possible detrimental impact they can have on food prices, land use, and carbon dioxide emissions.

We would like to see second generation biofuels made from cellulose waste. But we believe that technology is still in the development stage and will need additional time before it becomes commercially viable at the needed scale. We are currently evaluating investment opportunities in the development of cellulosic ethanol.

We also have some concern about fuel performance for our customers if biofuels are mandated at percent levels of the fuel that are beyond what performs satisfactorily for the vast majority of the current vehicle population.