US EPA to set reduced ethanol blending volumes, reject small refinery waivers - sources

(Reuters) - The U.S. Environmental Protection Agency on Tuesday will set reduced ethanol blending volumes mandates to account for the impact of the coronavirus pandemic on fuel demand, and reject a significant number of small refinery exemption requests, two sources familiar with the matter said.

The ethanol mandates will be around 12.6 billion gallons for 2020, 13.8 billion for 2020, and 15 billion for 2022, according to the sources who asked not to be named.

The EPA is expected to unveil the mandates later on Tuesday.

(Reporting by Jarrett Renshaw, Stephanie Kelly and Leah Douglas; Writing by Richard Valdmanis)