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Call to Action for a Truly Sustainable Renewable Future
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Home » BioChemicals/Renewable Chemicals, BioRefineries, Business News/Analysis, Field Crops, Minnesota, South Dakota

Gevo Rises as Production Plans Spur ‘Relief Rally,’ Analyst Says

Submitted by on March 1, 2012 – 3:12 pmNo Comment

by Andrew Herndon  (Bloomberg)  Gevo Inc. (GEVO), the U.S. biotechnology company backed by oil refiner Total SA (FP) and specialty chemicals maker Lanxess AG (LXS), rose the most in two weeks after saying it expects to begin shipments in July, on schedule, from a plant it’s completing in Minnesota.

…Gevo is retrofitting two corn-based ethanol plants in Minnesota and South Dakota to produce isobutanol, a four-carbon alcohol that can be used to make plastics, fibers, rubber, paints, jet fuel, and other products typically derived from petroleum.

Pat Gruber, Gevo’s chief executive officer, said on a conference call yesterday that the company expects to complete the Minnesota plant and begin deliveries in July to Sasol Chemical Industries Ltd., which will use the isobutanol to make paint, ink, coatings, and other products. Sasol will buy the majority of production from Gevo’s first two plants, which will have a combined capacity of 56 million gallons a year.

Another potential customer may buy as much as 70 percent of the Gevo’s expected 350 million gallons of production in 2015, Gruber said.  READ MORE

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