ADM "disappointed" in EPA ethanol blend ruling delay

CHICAGO (Reuters) - U.S. ethanol producer Archer Daniels Midland Co said Friday it was disappointed that the Environmental Protection Agency has delayed for a second time a ruling on higher blends of ethanol in the U.S. fuel supply.

The EPA said Thursday that testing to raise the blend rate of gasoline to 15 percent ethanol, or E15, in newer vehicles would not be completed until the end of September.

U.S. law currently allows ethanol blends of up to 10 percent.

"We're disappointed that, in 18 months, the (Department of Energy) has not been able to complete this testing and provide EPA with the data necessary to make a decision," ADM spokesman David Weintraub said in a statement.

"Every day they delay, the U.S. is sending more gallons of home-grown

ethanol overseas while it's importing more petroleum," he said.

ADM renewed its call for an interim increase in the ethanol blend to 12 percent for all vehicles because it is practically the same as E10.

ADM has said a higher interim blend would help ease the current glut of ethanol in the U.S. market caused by the E10 "blend wall."

Decatur, Illinois-based ADM is among the top ethanol producers in the United States, with the capacity to produce up to 1.8 billion gallons of ethanol a year.

(Reporting by Karl Plume; Editing by John Picinich)