Gevo and Mustang Sign Agreement for Bio-Jet Fuel
ENGLEWOOD, Colo., Apr 26, 2011 (BUSINESS WIRE) -- Gevo, Inc. (NASDAQ: GEVO), a renewable chemicals and advanced biofuels company, today announced it has signed an engineering and consulting agreement with Mustang Engineering, LP (Mustang) to convert Gevo's renewable isobutanol to bio-jet fuel. This effort will focus on the downstream processing of isobutanol to paraffinic kerosene (jet fuel) for jet engine testing, airline suitability flights and advancing commercial deployment.
"Our work with Mustang is another important step in the development of our bio-jet fuel business and Mustang is an ideal partner to advance our efforts in this important market," said Dr. Patrick Gruber, CEO of Gevo. "Their refining and chemicals industries engineering and project management expertise will help us bring an integrated, turnkey solution to the refining industry."
Gevo also announced that its "fit for purpose" testing at the Air Force Research Laboratory continues with a final report expected in June. Once completed successfully, the company will initiate jet engine testing with engine manufacturers.
"The advent of the jet fuel carbon tax on international flights landing in the European Union is motivating the airline industry and fuel suppliers to seek cost-effective, renewable alternatives to petroleum jet fuel," said Scott Baker, executive vice president of Mustang's Process Plants and Industrial business unit. "Mustang is excited about this opportunity to further support Gevo in the development of the next generation of alternative fuels. The processing steps required to make this bio-jet fuel lend themselves well to integration into refineries and petrochemical facilities."
Mustang is a global project management, engineering, procurement, and construction operations company serving the upstream oil and gas, refining and chemicals, pipeline, automation and control, and industrial markets. Mustang, a Wood Group company, has offices in the United States, United Kingdom, India, Malaysia, North Africa and the Middle East. For more information, visit www.mustangeng.com.
Gevo is developing capital efficient biorefinery systems to provide renewable, cost-effective building block products to the chemical and fuel industries. The Company seeks to convert renewable raw materials into isobutanol and renewable hydrocarbons that can be directly integrated on a "drop in" basis into existing chemical and fuel products to deliver environmental and economic benefits. Gevo is committed to a sustainable biobased economy that meets society's needs for plentiful food and clean air and water. For more information, visit www.gevo.com.
Notice Regarding 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. Such statements relate to a variety of matters, including but not limited to the benefits and synergies expected to result from the company's engineering and consulting agreement with Mustang. 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 the company undertakes no obligation to update or revise these statements, whether as a result of new information, future events or otherwise.
Although the company 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, 2010, and in subsequent reports on Forms 10-Q and 8-K and other filings made with the SEC by Gevo.
SOURCE: Gevo, Inc.