Gevo's 'Starving Time' Is Unlikely To End Well For Its Investors
Tristan R. Brown • 14 Comments
Tristan R. Brown • 14 Comments
GEVO's Operational Update Was Empty
Dallas Salazar • 13 Comments
Dallas Salazar • 13 Comments
Wed, Nov. 23, 7:47 PM
- The EPA today issued final regulations requiring that the amount of ethanol and other biofuels that must be blended into the U.S. fuel supply must increase by 6% next year.
- Since the result is a significant gain over the 4% the EPA recommended in an earlier draft proposal, it is a victory for ethanol makers and a defeat for oil companies that say using more biofuels in gasoline and diesel is costly and unachievable.
- The EPA set the 2017 target for total renewable fuel use at 19.28B gallons, higher than the initial proposal for 18.8B gallons as well as this year's 18.1B gallon requirement; the new mandate includes 15B gallons for conventional biofuel, which is mostly corn-based ethanol, vs. 14.5B gallons last year.
- Tesoro (NYSE:TSO) exec Stephen Brown says the plan is "unworkable" as it forces the use of biofuels beyond the blend wall and that it highlights the need for a legislative overhaul of the program.
- Shares in oil refiners mostly fell in today's trade: TSO -1.4%, VLO -0.8%, HFC -1.8%, MPC -0.3%, WNR -2.2%, PBF -3.5%, PSX +0.2%.
- Shares of biofuels producers rose: GEVO +8.5%, PEIX +7.1%, GPRE +2.1%, REGI +2%, REX +0.8%.
Mon, Nov. 14, 5:32 PM
- Gevo (NASDAQ:GEVO) -7.4% AH after reporting in-line Q3 earnings but lower than expected revenues and disappointing production guidance for its Luverne plant in Minnesota.
- Gevo says it expects to produce ~500K gallons of isobutanol at Luverne for 2016, at the low end of company guidance for 500K-650K gallons, and optimization plans may result in needing to add more equipment, systems or processes in the future at the plant.
- Gevo expects that by year-end 2016 it will have the capability for a production run rate equivalent to 1.5M gal/year at Luverne, although it sees a lower actual run rate while it scales up and tests new process improvements to further reduce costs and optimize production.
Mon, Nov. 14, 4:11 PM
Wed, Sep. 7, 4:58 PM| Wed, Sep. 7, 4:58 PM | 30 Comments
Wed, Sep. 7, 2:58 PM
- Gevo (GEVO +20.9%) jumps 20% after announcing it has entered a heads of agreement with Deutsche Lufthansa to supply its alcohol-to-jet fuel from its first commercial hydrocarbons facility, to be built in Luverne, Minn.
- Gevo says Lufthansa would purchase up to 8M gal/year of its ATJ fuel, or up to 40M gallons over the five-year life of the off-take agreement.
- Gevo also says the agreement, if fulfilled, would establish a selling price that is expected to allow for an appropriate level of return on the capital required to build-out the Luverne facility.
Tue, Aug. 9, 6:56 PM
- Gevo (NASDAQ:GEVO) -29.1% AH after reporting a Q2 loss of $0.15/share on revenue of $8.1M, 9% below last year's $8.9M.
- Gevo says Q2 revenues derived at its production facility in Luverne, Minn., totaled $7.2M, lower than $8M from the same period a year ago, mostly the result of lower ethanol production, ethanol prices and distiller grain prices.
- Gevo says all operations at the Luverne plant are up and running, but adds that it has taken longer than expected to complete installation of some additional distillation system equipment needed after initial operation of the distillation system began in March 2016; as a result, the onset of the production rate ramp-up was delayed, and the company projects full-year production volume to come in lower than expected.
- Despite production ramp-up delays, Gevo expects to have the capability to be at a production run rate equivalent to 1.5M gal/year at Luverne by year-end.
Tue, Aug. 9, 4:49 PM
Thu, Jun. 16, 2:14 PM
- Gevo (GEVO +12.4%) is sharply higher after signing a supply agreement with fuel distributor Musket Corp. to supply isobutanol for blending with gasoline.
- Gevo says Musket's initial distribution target markets will include marine and off-road users in Arizona, Nevada and Utah.
- The announcement follows last week's news of a share offering as well as a collaboration with Alaska Air.
Fri, Jun. 10, 9:11 AM
- Gevo (NASDAQ:GEVO) -33% premarket after saying it plans a public offering of an undetermined number of common shares.
- Gevo says it plans to use the proceeds to fund working capital and for other general corporate purposes.
- UPDATE: Gevo prices a ~21M-share best-efforts public offering of common stock at $0.45/share, which is expected to raise ~$9.5M.
Wed, Jun. 8, 2:00 PM
Tue, Jun. 7, 6:18 PM
- After racking up a 50% gain in today's regular trading, Gevo (NASDAQ:GEVO) adds another +50.8% AH after announcing that the first two commercial flights using its renewable alcohol to jet fuel flew from Seattle to San Francisco and Washington, D.C.
- Alaska Airlines (NYSE:ALK) estimates the 20% biofuel blend it used in today's two flights will reduce greenhouse gas emissions by ~50%.
- ALK says it is "committed to doing its part to reduce its carbon emissions... Gevo's jet fuel product is an important step forward, in that it has the potential to be scalable and cost effective, without sacrificing performance."
Tue, Jun. 7, 10:45 AM
- Gevo (GEVO +23.9%) spikes higher after announcing that Alaska Airlines (ALK +2%) is scheduled to fly the first commercial flight using Gevo's renewable alcohol to jet fuel later today.
- ALK would become the first airline to use a significant amount of fuel derived from Gevo's process of turning plant products into an alcohol called iosobutonal, from which jet fuel can be made.
- ALK signed an agreement with Gevo in January, citing the promise of alcohol-based fuel technology.
Thu, May 19, 9:15 AM
- Gevo (NASDAQ:GEVO) +14.2% premarket on news of an agreement with Clariant (OTC:CLZNF) to develop catalysts to enable Gevo's ethanol-to-olefins technology.
- The ETO technology uses ethanol as a feedstock to produce tailored mixes of propylene, isobutylene and hydrogen, which are valuable as standalone molecules or as feedstocks that would be drop-in replacements for their fossil-based equivalents.
- Gevo says that once the ETO technology is successfully developed and scaled-up, Clariant will be in a position to produce quantities needed to meet commercial production requirements.
Thu, May 12, 4:13 PM
- Gevo (NASDAQ:GEVO): Q1 EPS of -$0.16 beats by $0.16.
- Revenue of $6.3M (+6.8% Y/Y) misses by $2M.
Tue, Mar. 29, 8:23 AM
- Gevo (NASDAQ:GEVO) -29.3% premarket after reporting a Q4 loss of $0.44/share and announcing proposed public offering of common stock and warrants.
- Gevo says it restarted production of isobutanol in March at its production facility in Luverne, Minn., following completion of capital projects designed to lower the cost of production for isobutanol by bringing in-house parts of the process that had been performed by third parties.
- Gevo says it continues to target isobutanol production levels at Luverne of 750M-1M gallons in 2016 and a decrease in the variable cost of isobutanol production to $3.00-$3.50/gallon.
- Also, Gevo prices the common stock in its public offering at $0.35/share; it expects to raise $3.5M in the offering, with proceeds used to fund working capital and for other general corporate purposes.
Tue, Mar. 29, 7:12 AM
- Gevo (NASDAQ:GEVO): Q4 EPS of -$0.44 in-line.
- Revenue of $7.3M (-23.2% Y/Y) misses by $0.76M.
- Shares -28.26% PM.