Renewable fuels manufacturer Gevo plans to power its Agri-Energy biofuel production facility in Minnesota, US with renewable energy.
The company announced that it has secured the supply of 5MW of fully renewable electricity for the plant, which is located in Luverne, Minnesota, from an affiliate of energy company Juhl Energy. Generated from wind turbines, the electricity will enable Agri-Energy to claim the benefit of a lower carbon intensity (CI) score under the Low Carbon Fuel Standard (LCFS).
Gevo has invested $1.5 million (€1.36 million) in Juhl Clean Energy Assets (JCEA) stock. JCEA is the owner and operator of the wind project, and the funding round – which totals $9 million (€8.16 million) – will enable the acquisition and construction of wind turbines to supply power to Agri-Energy.
The electricity from the wind project is expected to be online and available to Gevo by the middle of 2020. Agri-Energy will purchase electricity from the City of Luverne, and the Renewable Energy Credits from an affiliate of JCEA.
The renewable energy produced by this wind project will help to decarbonise Gevo’s Agri-Energy plant, allowing the company to produce biofuels with a lower CI score, the company noted.
"I want to thank the City of Luverne and the Commissioners and people of Rock County in making this project happen,” said Patrick Gruber, CEO of Gevo. “Juhl Energy has been a great partner, and they know how to get things done. I appreciate their work not only in making the project a reality but for figuring out and arranging the funding too.
"Our plans call for us to invest in and build out our Agri-Energy site, producing renewable jet fuel and isooctane. Luverne has the potential to be a showcase for the world. Eliminating our carbon footprint from electricity is the right thing to do. We've taken a great step forward."
Dan Juhl, chairman of Juhl Energy, added: "We see the great potential of Gevo's work to reduce or even eliminate the fossil carbon footprint of transportation fuels. We’re excited that electricity from our wind project will directly lead to cleaner gallons of jet fuel and gasoline being produced by Gevo. We are pleased to work with the landowners, many officials from the City of Luverne, Missouri River Energy Services, Rock County, and Gevo. We look forward to these becoming long-term relationships."
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