Gevo to sell ethanol production facility

Gevo has entered into a definitive agreement to sell Agri-Energy to A.E. Innovation for $7 million (€6.1 million).
The transaction includes Agri’s 18-million-gallon-per-year ethanol production facility located in Luverne, Minnesota.
Gevo will retain ownership of certain isobutanol-production-related assets and a portion of the vacant land at the site for future use.
With these retained assets, Gevo could potentially produce up to 1 million gallons per year of isobutanol, which can be sold as a specialty chemical, or converted into isooctane and jet fuel.
A.E., an agriculture-oriented buyer group located in Minnesota, will acquire the ethanol plant and a portion of the land with the intent to restart ethanol production, which has been idled since 2022.
“We’re seeing rapid innovation in the direction of bio-based fuels and chemicals and Agri-Energy has the demonstrated history that it can work on the cutting edge,” said Dave Kolsrud, principal of A.E. Innovation.
“We see Gevo and others making strides and we know we’ll be a part of that. We are excited to host the next generation of biofuel innovations that need a friendly, practical place where they can scale them up. That’s Luverne, with its history of innovation, its low-carbon corn supply, wind power, and great people.”
“We see tremendous potential for future growth and new partnerships with A.E. Innovation,” added Patrick Gruber, CEO of Gevo.
“Minnesota’s farming communities, especially in places like Luverne, are leading the way with smart, sustainable agricultural practices. We believe it's the perfect foundation for building innovative solutions in carbohydrate-based energy and chemicals that the world urgently needs.”