Gevo provides update of Net Zero 1 SAF project
SOURCE: Gevo Inc.
January 23, 2023
BY Erin Voegele
Gevo Inc. currently expects to make a final investment decision on its Net Zero 1 (NZ1) project during the second half of this year, according a company and project update released Jan. 19. The project remains on schedule for startup in 2025.
Gevo broke ground on NZ1 in September 2022. The facility, located in Lake Preston, South Dakota, is expected to have the capacity to produce 65 MMgy of renewable fuels, including 55 MMgy of sustainable aviation fuel (SAF).
According to the company, front-end engineering design (FEED) work is substantially complete, with detailed engineering work continuing. Equipment procurement for the facility is expected to begin soon and detailed planning for this year’s construction ramp-up has begun.
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Gevo indicated that it has selected an engineering, procurement, and construction (EPC) contractor for the NZ1 project. The company said it is currently negotiating an EPC agreement with the selected firm and will disclose more details once the contract is finalized.
Gevo also confirmed the company is in discussions with multiple strategic and financial entities that are interested in providing equity funding for a portion of the NZ1 project. The company currently expects financial close and a final investment decision on the project to take place during the second half of this year. In addition, Gevo said it has submitted a Part II application under the U.S. Department of Energy’s Title 17 loan guarantee program.
Gevo also said it is making progress on securing future SAF production locations. The company has signed agreements and letters of intent with multiple parties to secure access to several sites. In addition to greenfield sites, Gevo also said it believes there are several existing ethanol plants that would be attractive for the development of alcohol-to-jet (ATJ) facilities.
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In addition, Gevo provided an update on its renewable natural gas (RNG) initiative, noting its RNG project in Iowa continues to ramp up and stabilize production.
A full copy of the company and project update is available on the Gevo website.
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