Gevo’s Luverne Facility Re-Starts Production Operations
August 04 2021 - 9:00AM
Gevo, Inc. (NASDAQ: GEVO), announced today that production
operations at its advanced, renewable fuels production facility
located in Luverne, Minnesota (the “Luverne Facility”) have
re-commenced. The Luverne Facility is expected to produce
fuel-grade, renewable isobutanol (“IBA”). The IBA produced will be
used as a feedstock for Gevo to produce sustainable aviation fuel
and renewable premium gasoline to fulfill existing sales contracts.
These renewable hydrocarbons will be produced in Silsbee, Texas at
the South Hampton Resources, Inc. hydrocarbon production facility.
Gevo also expects to utilize some of the IBA produced to develop
certain IBA specialty markets.
Moreover, the production operations at the
Luverne Facility will allow Gevo to test and evaluate certain
potential unit operations that may be incorporated into Gevo’s
state-of-the-art Net-Zero 1 production facility that is expected to
begin production in 2024 in Lake Preston, South Dakota.
Agri-Energy, LLC, Gevo’s wholly-owned subsidiary
that owns the Luverne Facility, has rehired multiple former
employees and is in the process of hiring an additional 11
employees to produce the IBA with the goal to have 30 full-time
employees.
“The team in Luverne has done an exceptional job
restarting isobutanol operations safely and with a focus on
continuous improvement for future growth,” said Dr. Paul Bloom,
President of Agri-Energy, LLC. “We appreciate the continued support
we’ve received from the State of Minnesota and City of Luverne and
are happy to be increasing the number of high-quality jobs at the
site. Ongoing production of IBA and building our team is just the
first phase of what we want to do at Luverne. We see that Luverne
has potential to serve specialty markets other than jet and
gasoline. We expect to announce more in coming months as the rest
of the plans come together.”
"We are getting geared up for what will be the
next stage of Gevo’s growth which is coming at us at an accelerated
rate. We are leveraging our existing Luverne location
to optimize conversion of our isobutanol production to develop the
standard in operating discipline for efficient and safe IBA
production facilities,” commented Dr. Patrick R. Gruber, Chief
Executive Officer of Gevo. “I like the option of being able to test
unit operations that could help optimize and train people for
Net-Zero 1. It will be critical for Net-Zero 1 to start-up smoothly
and the best way to do that is to do a good job training our
people. I expect Luverne to provide some of that experience,” Dr.
Gruber continued.
About Gevo
Gevo’s mission is to transform renewable energy
and carbon into energy-dense liquid hydrocarbons. These liquid
hydrocarbons can be used for drop-in transportation fuels such as
gasoline, jet fuel and diesel fuel, that when burned have potential
to yield net-zero greenhouse gas emissions when measured across the
full life cycle of the products. Gevo uses low-carbon renewable
resource-based carbohydrates as raw materials, and is in an
advanced state of developing renewable electricity and renewable
natural gas for use in production processes, resulting in
low-carbon fuels with substantially reduced carbon intensity (the
level of greenhouse gas emissions compared to standard petroleum
fossil-based fuels across their life cycle). Gevo’s products
perform as well or better than traditional fossil-based fuels in
infrastructure and engines, but with substantially reduced
greenhouse gas emissions. In addition to addressing the problems of
fuels, Gevo’s technology also enables certain plastics, such as
polyester, to be made with more sustainable ingredients. Gevo’s
ability to penetrate the growing low-carbon fuels market depends on
the price of oil and the value of abating carbon emissions that
would otherwise increase greenhouse gas emissions. Gevo believes
that its proven, patented technology enabling the use of a variety
of low-carbon sustainable feedstocks to produce price-competitive
low-carbon products such as gasoline components, jet fuel and
diesel fuel yields the potential to generate project and corporate
returns that justify the build-out of a multi-billion-dollar
business.
Gevo believes that the Argonne National
Laboratory GREET model is the best available standard of
scientific-based measurement for life cycle inventory or LCI.
Learn more at Gevo’s
website: www.gevo.com
Forward-Looking Statements
Certain statements in this press release may
constitute “forward-looking statements” within the meaning of the
Private Securities Litigation Reform Act of 1995. These
forward-looking statements relate to a variety of matters, without
limitation, including the Luverne Facility, the Luverne Facility’s
ability to produce IBA, the Net-Zero 1 project, Gevo’s technology,
Gevo’s products, and other statements that are not purely
statements of historical fact. These forward-looking statements are
made on the basis of the current beliefs, expectations and
assumptions of the management of Gevo and are subject to
significant risks and uncertainty. Investors are cautioned not to
place undue reliance on any such forward-looking statements. All
such forward-looking statements speak only as of the date they are
made, and Gevo undertakes no obligation to update or revise these
statements, whether as a result of new information, future events
or otherwise. Although Gevo believes that the expectations
reflected in these forward-looking statements are reasonable, these
statements involve many risks and uncertainties that may cause
actual results to differ materially from what may be expressed or
implied in these forward-looking statements. For a further
discussion of risks and uncertainties that could cause actual
results to differ from those expressed in these forward-looking
statements, as well as risks relating to the business of Gevo in
general, see the risk disclosures in the Annual Report on Form 10-K
of Gevo for the year ended December 31, 2020, and in subsequent
reports on Forms 10-Q and 8-K and other filings made with the U.S.
Securities and Exchange Commission by Gevo.
Investor and Media Contact+1
720-647-9605IR@gevo.com
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