REX American Resources is a holding company that produces and sells ethanol through majority-owned stakes in ethanol plants in the U.S. Corn Belt. REX consolidates two plants — One Earth Energy in Gibson City, IL and NuGen Energy in Marion, SD — and holds a minority stake in Big River Resources, which operates four additional plants. REX's effective share of production across these plants was approximately 294 million gallons in FY25. REX sells ethanol primarily as a fuel additive to blenders and refiners. The ethanol production process also yields co-products — distillers grains (sold as animal feed) and corn oil (sold to animal feed, biodiesel, and chemical markets) — which partially offset corn input costs. REX's core profitability is driven by the "crush spread," the margin between ethanol prices received and corn costs. Natural gas is a secondary input cost. Because crush spreads are commodity-driven, results can be volatile; REX manages this through forward purchase and sale contracts, typically locked in no more than four months ahead. A growing earnings driver is the 45Z federal production tax credit for low-carbon fuels, which REX recognized at roughly $0.10 per gallon in FY25. REX is investing roughly $220-$230M at One Earth to expand capacity from ~150M to ~200M gallons annually and to build carbon capture and sequestration infrastructure, which could improve REX's carbon intensity score enough to qualify for up to $1.00 per gallon in 45Z credits once operational. REX carries no bank debt and holds a substantial cash balance, with interest income also contributing to pre-tax earnings.