Gevo Successfully Secures Renewable Electricity for its Biofuel Production Processes
16 September 2019 - 3:00PM
Gevo, Inc. (NASDAQ: GEVO) a leading renewable fuels and chemicals
manufacturer, announced today it secured the supply of 5.0 MW of
fully renewable electricity for its Agri-Energy production plant
located in Luverne, MN from an affiliate of Juhl Energy. The
electricity generated from wind will be wired directly to
Agri-Energy, enabling it to claim the renewable benefit of lower
carbon intensity score under the Low Carbon Fuel Standard
(LCFS).
As part of the project financing, Gevo invested $1.5 million in
the preferred stock of Juhl Clean Energy Assets, Inc. (JCEA) out of
a total funding round of $9 million. JCEA is the owner and
operator of the wind project and the funding round will enable the
acquisition and construction of the wind towers needed to supply
Agri-Energy. The wind electricity should be on-line and available
to Gevo's Agri-Energy no later than mid-year 2020. Gevo's
Agri-Energy has agreed to purchase the electricity from the City of
Luverne, and the Renewable Energy Credits from an affiliate of
JCEA. Gevo expects no material cost increase in its electricity
pricing. This wind energy produced will help to "decarbonize"
Gevo's Agri-Energy plant in Luverne, MN, allowing Gevo to produce
biofuels with a lower carbon intensity score. This wind project is
the first of several steps that are expected to lead to improved
profitability for Gevo by reducing the carbon footprint of its fuel
products enabling Gevo to capture value from the carbon intensity
reduction, or reduced carbon footprint of its products.
"I want to thank the City of Luverne and the Commissioners and
people of Rock County in making this project happen. Juhl Energy
has been a great partner, and they know how to get things done. I
appreciate their work not only in making the project a reality but
for figuring out and arranging the funding too," commented Patrick
R. Gruber, Chief Executive Officer of Gevo. "Our plans call
for us to invest in and build out our Agri-Energy site, producing
renewable jet fuel and isooctane. Luverne has the potential to be a
showcase for the world. Eliminating our carbon footprint from
electricity is the right thing to do. We've taken a great step
forward."
"We see the great potential of Gevo's work to reduce or even
eliminate the fossil carbon footprint of transportation fuels.
We’re excited that electricity from our wind project will directly
lead to cleaner gallons of jet fuel and gasoline being produced by
Gevo," said Dan Juhl, Chairman of Juhl Energy. "We are pleased to
work with the landowners, many officials from the City of Luverne,
Missouri River Energy Services, Rock County, and Gevo. We look
forward to these becoming long-term relationships."
About GevoGevo is a next-generation
"low-carbon" fuel company focused on the development and
commercialization of renewable alternatives to petroleum-based
products. Low-carbon fuels reduce the carbon intensity, or the
level of greenhouse gas emissions, compared to standard
fossil-based fuels across their lifecycle. The most common
low-carbon fuels are renewable fuels. Gevo is focused on the
development and production of mainstream fuels like gasoline and
jet fuel using renewable feedstocks that have the potential to
lower greenhouse gas emissions at a meaningful scale and enhance
agricultural production, including food and other related products.
In addition to serving the low-carbon fuel markets, through Gevo's
technology, Gevo can also serve markets for the production of
chemical intermediate products for solvents, plastics, and building
block chemicals. Learn more at our website: www.gevo.com
About Juhl EnergyJuhl Energy is
an established leader and pioneer in the renewable energy industry
with a focus on competitive, clean energy solutions, including
wind, solar, hybrid systems and combined heat and power projects
designed for rural communities, municipal electric companies, and
industrial companies throughout the United States. Juhl
Energy has completed over 25 projects, accounting for over 350 MW’s
of power. Juhl services every aspect of development from
general consultation, engineering, construction and management, to
system operations and maintenance. Juhl Energy is
headquartered in Chanhassen, MN, and has other offices in
Chicago, and Milwaukee.
Forward-Looking StatementsCertain 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, including, without limitation, statements related to the
wind turbines, the Luverne Facility, Juhl Energy, JCEA,
profitability, the electricity produced by the wind turbines, 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, 2018, as amended, 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 ContactShawn M. SeversonIntegra Investor
Relations+1 415-226-7747info@integra-ir.com
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