Non-Ethanol Gas in Iowa Could See Price Jump

DES MOINES, Iowa (AP) - Iowa motorists who buy gasoline without ethanol could soon see a price jump at the pump.

The Des Moines Register reports that Iowa's largest pipeline operator, Magellan Midstream Partners, will no longer ship "clear" 87 octane regular gasoline to its Iowa terminals.

Instead, the pipeline operator will start shipping 84 octane fuel, which can be blended with more expensive 91 octane fuel to produce the regular 87 octane product. Iowa requires a minimum 87 octane fuel at gas pumps.

The change means that both the new 87 octane and 91 octane fuels without ethanol will likely cost more at the pump.

Magellan spokesman Bruce Heine says the change is driven by pipeline customers, including refiners, petroleum traders and petroleum marketers.

The change takes effect on Sept. 15.
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