4 February 2016
DETAILS
announced today that it has entered into
a license agreement and a joint development agreement with
to construct multiple isobutanol plants
in
The first plant is to be wholly owned by Porta
and is anticipated to begin producing isobutanol
in 2017.
The plant is expected to have a production capacity of
up to five million gallons of isobutanol per year.
Based on projected isobutanol pricing,
Gevo estimates that it could generate approximately
$ 1 Millionin annual revenues once the plant is operational,
through royalties, sales and marketing fees,
and other revenue streams such as yeast sales.
The agreements also contemplate Porta constructing
at least three additional isobutanol plants
for certain of their existing ethanol plant customers.
For these projects,
the direct licensor of its technology
and
the marketer for any isobutanol produced,
and would expect to
receive all royalties and sales and marketing fees
generated from these projects.
As one of the leading engineering, procurement
and construction (“EPC”) service providers
to the ethanol industry in
would provide the EPC services for the projects.
The production capacity of these additional plants
is still to be determined.
Gevo’s Chief Executive Officer
“We appreciate Porta’s desire to be
the first direct licensee of Gevo’s isobutanol technology,
as well as their agreement to be
our EPC partner in Argentina.
Consequently, we have agreed to waive
an up-front license fee for the first plant
that is to be wholly-owned by Porta,”
Media Contact
David Rodewald
The David James Agency, LLC +1 805-494-9508 gevo@davidjamesagency.com
Investor Contact
Shawn M. Severson
The Blueshirt Group
+1 415-489-2918 shawn@blueshirtgroup.com
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