ADM, Gevo sign MOU to produce up to 500M gallons of SAF
Summary
ADM, a global leader in nutrition and agricultural origination and processing, and Gevo Inc., a pioneer in transforming renewable energy into low carbon, energy-dense liquid hydrocarbons, announced today that they have signed a memorandum of understanding (MoU) to support the production of sustainable aviation fuel (SAF) and other low carbon-footprint hydrocarbon fuels. The MoU contemplates the production of both ethanol and isobutanol that would then be transformed into renewable low carbon-footprint hydrocarbons, including SAF, using Gevo’s processing technology and capabilities. “The potential conversion of 900 million gallons of ethanol – more than half of our production capacity – to serve growing demand for sustainable aviation fuel would represent a major step in the continued evolution of our Carbohydrate Solutions business to focus increasingly on new, high-growth opportunities,” said ADM Chairman and CEO Juan Luciano. Equally important, we’re continuing to live our purpose, with our entry into SAF representing another step in our strategic efforts to advance decarbonization and use our integrated value chain to deliver more sustainable, environmentally friendly products and services.” “Our potential customer contract pipeline has grown to over 1 billion gallons,” said Gevo CEO Patrick Gruber, Ph.D. “By working with ADM, who already has committed to reducing their carbon footprint, we have the opportunity to accelerate scale. The companies intend to work together to determine full commercialization plans and enter into definitive agreements enabling a timeline such that production of SAF can begin in the 2025-2026 timeframe.