Gevo, Inc. (NASDAQ: GEVO) shares rose after the Environmental Protection Agency announced it has approved up to a 16% blend of isobutanol for use in automobiles.
The Colorado-based Gevo is headed by Patrick Gruber, who commented, "Blends of isobutanol at a 16% level have previously been used for boats and off-road applications. We congratulate Butamax in getting this registration done. We all benefit. 16% blend levels allow more RINS per gallon, high octane, and many other benefits.
"At Gevo we have been developing the markets for isobutanol containing gasoline, in particular to meet the demand for the 'ethanol free' segment of the gasoline market. A 16% blend option will give our customers and partners an option for an even better product for on-road use."
Gevo is a leading renewable technology, chemical products, and next generation biofuels company. Gevo has developed proprietary technology that uses a combination of synthetic biology, metabolic engineering, chemistry and chemical engineering to focus primarily on the production of isobutanol, as well as related products from renewable feedstocks.
Gevo’s strategy is to commercialize bio-based alternatives to petroleum-based products to allow for the optimization of fermentation facilities’ assets, with the ultimate goal of maximizing cash flows from the operation of those assets.
Gevo produces isobutanol, ethanol and high-value animal feed at its fermentation plant in Luverne, Minnesota. Gevo has also developed technology to produce hydrocarbon products from renewable alcohols.
The stock has ranged over the last 52 weeks between 19 cents and $21.00. Shares opened Tuesday morning up $6.19, or 48.7%, to $18.89
