GFET Defines Goals for Preprocessing System

HOUSTON--(Business Wire)--
Gulf Ethanol Corporation, (OTC:GFET) addresses its goals for its
cellulosic biomass feedstock preprocessing system.

The success of the U.S. bio-industry depends, to a large degree,
on the quantity and quality of biomass available, and on the
industry's ability to cost-effectively utilize biomass for energy
production. A successful bio-refinery must have access to an adequate
supply of low cost biomass with desirable characteristics.

Gulf Ethanol plans to test its cellulosic biomass preprocessing
system for capacity of preprocessing, throughput capabilities, and the
performance parameters that will define scalability. The specific
objectives of our preprocessing research will include efforts to
quantify the equipment's capabilities with various biomass feedstocks,
such as sorghum, switchgrass, stover, and sawdust. Furthermore,
preprocessing tests will help us determine performance and cost of the
preprocessing operation. We plan to structure our testing to further
identify strategies to increase preprocessed feedstock bulk densities
and to determine the drying capacity of the equipment, all critical
elements in cellulosic ethanol production.

The US Department of Energy goal is to determine if feedstock
costs can be reduced to $35.00 per ton of biomass. To achieve this the
market needs feedstock preprocessing to allow for the creation of
smaller particles and for dry storage. These milestones will increase
ethanol yield and extend the shelf life of feedstock.

GFET's technology is expected to address both of these challenges
by processing feedstock into very small dry particles for processing.

About Gulf Ethanol Corporation

Gulf Ethanol is an alternative energy company focused on the
development of the cellulosic ethanol industry with a particular
emphasis on Texas and the Gulf Coast. For more information please
review our disclosure documents at www.pinksheets.com:
www.GulfEthanolCorp.com.

Safe Harbor Statement under the Private Securities Litigation
Reform Act of 1995: This news release contains forward-looking
information within the meaning of Section 27A of the Securities Act of
1933, as amended, and Section 21E of the Securities Exchange Act of
1934, as amended, including statements that include the words
"believes," "expects," "anticipate" or similar expressions. Such
forward-looking statements involve known and unknown risks,
uncertainties and other factors that may cause the actual results,
performance or achievements of the company to differ materially from
those expressed or implied by such forward-looking statements. In
addition, description of anyone's past success, either financial or
strategic, is no guarantee of future success. This news release speaks
as of the date first set forth above and the company assumes no
responsibility to update the information included herein for events
occurring after the date hereof.

Gulf Ethanol Corporation, Houston
William Carmichael, 713-461-9229
ir@gulfethanolcorp.com

Copyright Business Wire 2008