Alaska Airlines to be Gevo's Commercial Launch Partner for Renewable Alcohol-Based Jet Fuel
May 07 2015 - 7:00AM
Gevo, Inc. (Nasdaq:GEVO) announced today that it has signed a
strategic alliance agreement with Alaska Airlines to purchase
Gevo's renewable jet fuel and fly the first-ever commercial flight
on alcohol-to-jet fuel (ATJ).
The demonstration flight is expected to occur after Gevo
receives ASTM International certification for its fuel, sometime in
mid to late 2015. Gevo has been working through the rigorous ASTM
process for six years, which includes extensive engine testing and
data analysis by all of the major original equipment manufacturers
to establish the specification for this drop in fuel. Once
approved, this fuel can be seamlessly integrated into the existing
distribution infrastructure and onto commercial aircraft.
"Developing a domestic, competitively priced, sustainable supply
of biofuels is fundamental to the future of American aviation,"
said Joe Sprague, senior vice president of external relations at
Alaska Airlines. "The cost of fossil-based jet fuel is one of the
largest expenses for airlines. This investment in Gevo's ATJ will
help reduce our exposure to high fuel prices, minimize our carbon
footprint and demonstrate growing demand for fuel
alternatives."
"A sustainable biofuels industry would help insulate airlines
from fuel price spikes, enabling them to offer economical air
travel while remaining profitable, while helping meet their
environmental goals, and spur economic growth within and outside of
aviation," said Dr. Patrick Gruber, Gevo's Chief Executive Officer.
"We greatly appreciate Alaska Airlines as a commercial partner as
we move towards commercialization."
Gevo's patented ATJ is a clean burning, homegrown, drop-in jet
fuel, which has the potential to deliver aviation biofuels at scale
and at competitive cost.
Alaska Airlines was the first U.S. airline to fly multiple
commercial passenger flights using a biofuel from used cooking oil.
The carrier flew 75 flights between Seattle and Washington, D.C.
and Seattle and Portland in November 2011. The airline has set a
goal to using sustainable aviation biofuel at one or more of its
airports by 2020.
About Gevo
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 biobased
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, MN. Gevo has also developed
technology to produce hydrocarbon products from renewable alcohols.
Gevo currently operates a biorefinery in Silsbee, TX, in
collaboration with South Hampton Resources Inc., to produce
renewable jet fuel, octane, and ingredients for plastics like
polyester. Gevo has a marquee list of partners including The
Coca-Cola Company, Toray Industries Inc. and Total SA, among
others. Gevo is committed to a sustainable bio-based economy that
meets society's needs for plentiful food and clean air and
water.
About Alaska Airlines Alaska Airlines, a
subsidiary of Alaska Air Group (NYSE:ALK), together with its
partner regional airlines, serves more than 100 cities through an
expansive network across the United States, Canada and Mexico. For
more news and information, visit the Alaska Airlines/Horizon Air
Newsroom at www.alaskaair.com/newsroom.
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. These forward-looking
statements include statements that are not purely statements of
historical fact, and can sometimes be identified by our use of
terms such as "intend," "expect," "plan," "estimate," "future,"
"strive" and similar words. 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, 2014,
as amended, and in subsequent reports on Forms 10-Q and 8-K and
other filings made with the SEC by Gevo.
CONTACT: Media & Investor Contact:
Mike Willis
Gevo, Inc.
T: (720) 267-8636
mwillis@gevo.com
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