Gevo Forms Joint Venture to Upgrade Redfield’s Plant for Isobutanol Production
Gevo announced that a joint venture has been established with Redfield Energy to renovate Redfield’s current ethanol facility into an isobutanol manufacturing plant.
Both companies will work together to upgrade the facility into a second-generation biorefinery. The retrofit project is anticipated to begin at the end of 2011 and production capacity will be about 38 million gallons per year (MGPY). Commercial isobutanol production is expected to commence in the Q4 of 2012.
Gevo’s CEO, Patrick Gruber stated that the production of isobutanol adds more value in several markets and Redfield’s plant has been operating in an efficient and profitable manner.
Gevo, who deals in renewable chemicals and innovative biofuels, will deliver the required funds and technology for renovation of Redfield’s ethanol facility. In return, the company will secure an equity interest in Redfield.
The Redfield plant is the second retrofit project for Gevo and the first one has been started in Luverne, Minnesota on May 31, 2011. Gevo expects to achieve a total annual isobutanol production capacity of nearly 60 MGPY in 2012. The company has also announced plans for a third joint venture to produce an additional 50 MGPY of isobutanol.
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