The EPA has issued regulations requiring that the amount of biofuels blended into the U.S. fuel supply must increase by 6% throughout 2017.
That's good news for Gevo Inc. (GEVO), a leading chemical products and renewable technology company with a strong focus on commercializing bio-based alternatives to petroleum-based products. And the new rule is a significant increase over the amount the EPA originally recommended in a previous draft, which represents a huge victory for biofuel manufacturers like Gevo.
First Renewable Jet Fuel
Gevo recently produced the world’s first cellulosic renewable jet fuel to be used on commercial flights. The new fuel is produced by altering renewable isobutanol, made from cellulosic sugars derived from wood waste. The company’s patented technologies can now reliably convert isobutanol into renewable jet fuel, no matter what the sugar source might be. The fuel meets the ASTM D7566 specification, allowing it to be used for commercial flights.
Gevo has now made more than 1,000 gallons of the alcohol-to-jet (ATJ) fuel, which was successfully used as fuel for the world’s first commercial flight by Alaska Airlines on November 14, 2016 from Seattle to Washington National Airport.
Stonebridge Capital Advisors LLC took out a new position in the company, buying 122,000 shares for a total of $41,000. Susquehanna International Group LLP also took out a new position, buying 58,003 shares at a value of $20,000. Geode Capital Management LLC increased their position by 42.36%, buying an additional 134,471 shares to take their total holdings up to 451,958 shares at a value of $152,000.
Institutional investors and hedge funds own a total of 3.23% of GEVO stock.