Gevo, Inc. announced it has begun selling renewable isooctene to BCD Chemie, a subsidiary of Brenntag. Initial orders in 2015 are expected to result in revenues to Gevo of over $1 million. The isooctene will be produced at Gevo’s biorefinery in Silsbee, Texas, derived from isobutanol produced at Gevo’s plant in Luverne, Minn. Gevo’s biorefinery is operated in conjunction with South Hampton Resources.
BCD Chemie is targeting applications in Europe with Gevo’s isooctene.
This commences a relationship with BCD Chemie that may include the marketing of other hydrocarbon products, including isooctane and jet fuel, and builds on Gevo’s existing partnership with Brenntag in Canada, which is currently selling Gevo’s isobutanol as a solvent in Canada.
Isooctene and isooctane can be used as high-octane fuel blend components used in gasoline formulations. Higher octane ratings in fuel are important for high performance engines to minimize engine knock.
The additional value of these products are reflected in the market price, which in Europe can range up to $7.00-$10.00 per gallon for petroleum-based isooctene and isooctane.
Renewable hydrocarbons such as isooctene can directly replace petroleum-based hydrocarbons without any compromise of performance. The use of these renewable hydrocarbons enables companies to meet regulatory requirements for renewable content in fuels while satisfying the performance requirements of their customers.