Gevo to build hydrocarbon demo plant

Gevo is at full speed ahead for the development and commercialization of downstream products coming from its bio-isobutanol.

The company announced on Tuesday its agreement with Texas-based Arabian American Development Co. to build a hydrocarbon demonstration plant in Silsbee, Texas owned by its specialty petrochemicals subsidiary South Hampton Resources (SHR) Inc. According to SHR’s website, the company accounts for 60% of North America’s C5 solvents market.

The demo plant will process up to 10,000 gallons/month of Gevo’s isobutanol into a variety of products such as jet fuel (for engine testing), isooctane for gasoline, isooctene and paraxylene for PET (polyethylene terepthalate). The products will be supplied to potential customers for evaluation and product qualification.

The demo facility is expected to be complete this year and the 2-year contract between two companies will have one-year extensions thereafter.

The blog will check again with Gevo next week after its second quarter earnings announcement.

[Photo of SHR's facility in Silsbee, Texas]

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