𝗔 𝘀𝗼𝗯𝗲𝗿 𝘃𝗶𝗲𝘄 𝗼𝗻 𝗚𝗲𝘃𝗼
𝗪𝗵𝗮𝘁 𝗶𝘀 𝗚𝗲𝘃𝗼?
$GEVO operates as a renewable fuels company.
It commercializes gasoline, jet fuel, and diesel fuel to achieve zero carbon emissions, and reduce greenhouse gas emissions with sustainable alternatives.
The company uses low-carbon renewable-resource-based carbohydrates as raw materials and is developing renewable electricity and renewable natural gas for use in production processes.
It products also include renewable biodiesel, isooctane, isobutanol, sustainable aviation fuel, isobutylene, ethanol, and animal feed.
𝗖𝗹𝗶𝗺𝗮𝘁𝗲 𝗰𝗵𝗮𝗻𝗴𝗲 𝗶𝘀 𝗵𝗮𝗽𝗲𝗻𝗶𝗻𝗴 𝗮𝗻𝗱 𝗮𝗰𝗰𝗼𝗿𝗱𝗶𝗻𝗴 𝘁𝗼 𝗣𝗿𝗲𝘀𝗶𝗱𝗲𝗻𝘁 𝗝𝗼𝗲 𝗕𝗶𝗱𝗲𝗻, 𝗶𝘁𝘀 𝘁𝗵𝗲 “𝗻𝘂𝗺𝗯𝗲𝗿 𝗼𝗻𝗲 𝗶𝘀𝘀𝘂𝗲 𝗳𝗮𝗰𝗶𝗻𝗴 𝗵𝘂𝗺𝗮𝗻𝗶𝘁𝘆”
Paris climate accord
Joe Biden has moved to reinstate the US to the Paris climate agreement just hours after being sworn in as president, as his administration rolls out a cavalcade of executive orders aimed at tackling the climate crisis.
Biden’s executive action, signed in the White House on Wednesday, 20th January, will see the US rejoin the international effort curb the dangerous heating of the planet, following a 30-day notice period.
The world’s second-largest emitter of greenhouse gases was withdrawn from the Paris deal under Donald Trump.
Gevo can help the US: 𝗡𝗲𝘁-𝗭𝗲𝗿𝗼 𝟭 𝗣𝗿𝗼𝗷𝗲𝗰𝘁
The concept of a Net-Zero Project is to convert renewable energy – photosynthetic, wind, renewable natural gas, biogas – from a variety of sources into energy-dense liquid hydrocarbons, that 𝘄𝗵𝗲𝗻 𝗯𝘂𝗿𝗻𝗲𝗱 𝗶𝗻 𝘁𝗿𝗮𝗱𝗶𝘁𝗶𝗼𝗻𝗮𝗹 𝗲𝗻𝗴𝗶𝗻𝗲𝘀, have the potential to achieve net-zero greenhouse gas emissions 𝗮𝗰𝗿𝗼𝘀𝘀 𝘁𝗵𝗲 𝘄𝗵𝗼𝗹𝗲 𝗹𝗶𝗳𝗲𝗰𝘆𝗰𝗹𝗲 𝗼𝗳 𝘁𝗵𝗲 𝗹𝗶𝗾𝘂𝗶𝗱 𝗳𝘂𝗲𝗹.
– the way carbon is captured from the atmosphere
– processed to make liquid fuel products
– when its used – burning as a fuel for cars, planes, trucks, and ships
On a side note…
𝗕𝗶𝗹𝗹 𝗚𝗮𝘁𝗲𝘀 𝗯𝗲𝗰𝗼𝗺𝗲𝘀 𝘁𝗵𝗲 𝗹𝗮𝗿𝗴𝗲𝘀𝘁 𝗳𝗮𝗿𝗺𝗹𝗮𝗻𝗱 𝗼𝘄𝗻𝗲𝗿 𝗶𝗻 𝘁𝗵𝗲 𝘂𝗻𝗶𝘁𝗲𝗱 𝘀𝘁𝗮𝘁𝗲𝘀
Bill and Melinda Gates are very actively fighting climate change, and are actively using technology to solve this problem.
Bill Gates may no longer be the world’s richest man, but he can claim a new title: America’s farmland king.
Gates’ portfolio comprises about 242,000 acres of farmland, according to The Land Report, a magazine for land investors that tracks the nation’s biggest landowners.
For Europeans, that’s 9.2 times the size of Paris.
From GatesNotes “How do we move around in a zero-carbon world?”
𝘛𝘰𝘥𝘢𝘺’𝘴 𝘢𝘥𝘷𝘢𝘯𝘤𝘦𝘥 𝘣𝘪𝘰𝘧𝘶𝘦𝘭𝘴 𝘢𝘳𝘦 𝘢 𝘭𝘰𝘵 𝘥𝘪𝘧𝘧𝘦𝘳𝘦𝘯𝘵 𝘧𝘳𝘰𝘮 𝘵𝘩𝘦 𝘧𝘪𝘳𝘴𝘵-𝘨𝘦𝘯 𝘰𝘯𝘦𝘴 𝘺𝘰𝘶’𝘷𝘦 𝘩𝘦𝘢𝘳𝘥 𝘢𝘣𝘰𝘶𝘵, 𝘴𝘶𝘤𝘩 𝘢𝘴 𝘦𝘵𝘩𝘢𝘯𝘰𝘭.
𝘚𝘰𝘮𝘦 𝘢𝘳𝘦 𝘮𝘢𝘥𝘦 𝘧𝘳𝘰𝘮 𝘱𝘭𝘢𝘯𝘵𝘴 𝘵𝘩𝘢𝘵 𝘢𝘳𝘦𝘯’𝘵 𝘨𝘳𝘰𝘸𝘯 𝘧𝘰𝘳 𝘧𝘰𝘰𝘥, 𝘴𝘰 𝘵𝘩𝘦𝘺 𝘯𝘦𝘦𝘥 𝘭𝘪𝘵𝘵𝘭𝘦 𝘵𝘰 𝘯𝘰 𝘧𝘦𝘳𝘵𝘪𝘭𝘪𝘻𝘦𝘳 (𝘸𝘩𝘪𝘤𝘩 𝘺𝘰𝘶 𝘮𝘪𝘨𝘩𝘵 𝘳𝘦𝘮𝘦𝘮𝘣𝘦𝘳 𝘪𝘴 𝘢 𝘣𝘪𝘨 𝘦𝘮𝘪𝘵𝘵𝘦𝘳 𝘰𝘧 𝘨𝘳𝘦𝘦𝘯𝘩𝘰𝘶𝘴𝘦 𝘨𝘢𝘴𝘦𝘴).
𝘖𝘵𝘩𝘦𝘳𝘴 𝘢𝘳𝘦 𝘮𝘢𝘥𝘦 𝘧𝘳𝘰𝘮 𝘢𝘨𝘳𝘪𝘤𝘶𝘭𝘵𝘶𝘳𝘢𝘭 𝘣𝘺𝘱𝘳𝘰𝘥𝘶𝘤𝘵𝘴, 𝘭𝘪𝘬𝘦 𝘤𝘰𝘳𝘯 𝘴𝘵𝘢𝘭𝘬𝘴 𝘢𝘯𝘥 𝘵𝘩𝘦 𝘱𝘶𝘭𝘱 𝘵𝘩𝘢𝘵’𝘴 𝘭𝘦𝘧𝘵 𝘰𝘷𝘦𝘳 𝘧𝘳𝘰𝘮 𝘮𝘢𝘬𝘪𝘯𝘨 𝘱𝘢𝘱𝘦𝘳.
𝘚𝘰𝘮𝘦 𝘰𝘧 𝘵𝘩𝘦𝘴𝘦 𝘧𝘶𝘦𝘭𝘴 𝘤𝘢𝘯 𝘦𝘷𝘦𝘯 𝘣𝘦 𝘥𝘳𝘰𝘱𝘱𝘦𝘥 𝘪𝘯𝘵𝘰 𝘦𝘹𝘪𝘴𝘵𝘪𝘯𝘨 𝘦𝘯𝘨𝘪𝘯𝘦𝘴 𝘸𝘪𝘵𝘩𝘰𝘶𝘵 𝘢𝘯𝘺 𝘮𝘰𝘥𝘪𝘧𝘪𝘤𝘢𝘵𝘪𝘰𝘯𝘴 𝘯𝘦𝘦𝘥𝘦𝘥.
𝘐’𝘮 𝘰𝘱𝘵𝘪𝘮𝘪𝘴𝘵𝘪𝘤 𝘢𝘣𝘰𝘶𝘵 𝘵𝘩𝘦𝘴𝘦 𝘣𝘪𝘰𝘧𝘶𝘦𝘭𝘴, 𝘣𝘶𝘵 𝘪𝘵’𝘴 𝘵𝘰𝘰 𝘴𝘰𝘰𝘯 𝘵𝘰 𝘵𝘩𝘪𝘯𝘬 𝘢𝘣𝘰𝘶𝘵 𝘳𝘦𝘱𝘭𝘢𝘤𝘪𝘯𝘨 𝘨𝘢𝘴𝘰𝘭𝘪𝘯𝘦 𝘢𝘯𝘥 𝘰𝘵𝘩𝘦𝘳 𝘧𝘰𝘴𝘴𝘪𝘭 𝘧𝘶𝘦𝘭𝘴 𝘸𝘪𝘵𝘩 𝘵𝘩𝘦𝘮.
𝘙𝘦𝘴𝘦𝘢𝘳𝘤𝘩 𝘰𝘯 𝘢𝘥𝘷𝘢𝘯𝘤𝘦𝘥 𝘣𝘪𝘰𝘧𝘶𝘦𝘭𝘴 𝘪𝘴 𝘴𝘵𝘪𝘭𝘭 𝘶𝘯𝘥𝘦𝘳𝘧𝘶𝘯𝘥𝘦𝘥, 𝘢𝘯𝘥 𝘵𝘩𝘦𝘺 𝘢𝘳𝘦𝘯’𝘵 𝘳𝘦𝘢𝘥𝘺 𝘵𝘰 𝘣𝘦 𝘥𝘦𝘱𝘭𝘰𝘺𝘦𝘥 𝘢𝘵 𝘵𝘩𝘦 𝘴𝘤𝘢𝘭𝘦 𝘸𝘦 𝘯𝘦𝘦𝘥.
𝘞𝘦 𝘯𝘦𝘦𝘥 𝘢 𝘭𝘰𝘵 𝘮𝘰𝘳𝘦 𝘪𝘯𝘯𝘰𝘷𝘢𝘵𝘪𝘰𝘯 𝘣𝘦𝘧𝘰𝘳𝘦 𝘵𝘩𝘦𝘺 𝘣𝘦𝘤𝘰𝘮𝘦 𝘢 𝘳𝘦𝘢𝘭𝘪𝘴𝘵𝘪𝘤, 𝘤𝘰𝘴𝘵-𝘦𝘧𝘧𝘦𝘤𝘵𝘪𝘷𝘦 𝘰𝘱𝘵𝘪𝘰𝘯 𝘧𝘰𝘳 𝘭𝘰𝘯𝘨-𝘩𝘢𝘶𝘭 𝘵𝘳𝘢𝘯𝘴𝘱𝘰𝘳𝘵𝘢𝘵𝘪𝘰𝘯.
Why do we care?
𝗣𝗿𝗲𝘀𝗶𝗱𝗲𝗻𝘁 𝗝𝗼𝗲 𝗕𝗶𝗱𝗲𝗻 $𝟮𝗧 𝗳𝘂𝗻𝗱𝗶𝗻𝗴 𝗽𝗹𝗮𝗻 𝘁𝗼 𝗳𝗶𝗴𝗵𝘁 𝗖𝗹𝗶𝗺𝗮𝘁𝗲 𝗖𝗵𝗮𝗻𝗴𝗲.
Check the link in the end for more information on this.
Okay… but what does this have to do with the topic?
Frances Arnold, Co-Founder, Chemical Engineer & Nobel Prize Winner is on Joe Bidens Science Team.
Gevo has prime positioning to obtain some of the funding that it so much needs.
𝗪𝗵𝘆 𝗱𝗼𝗲𝘀 𝗶𝘁 𝗻𝗲𝗲𝗱 𝘁𝗵𝗶𝘀 𝗳𝘂𝗻𝗱𝗶𝗻𝗴 𝘁𝗵𝗮𝘁 𝗺𝘂𝗰𝗵?
Gevo is far from profitable, and still a cash-burning business, and to generate cash, it has been constantly diluting shares over the last year.
The total shares outstanding grew by 838.8%, lowering each individual ownership value.
Comment on here if you want to more about share dilution and its dangers.
Revenue, as you can see in the posts image, has been decreasing since inception, with the hopes of a turn around due to mentality shift towards climate change.
The company has been losing a considerable amount of money, hence the need for capital injection.
Although the numbers don’t seem wonderful, the current balance sheet is actually pretty healthy.
The companies debt to equity ratio sits at 10.2%,, backed by the low debt the company contracts of $13.8M compared to $134.6M equity.
To prevent getting caught on debt, as we’ve seen before, the company opted for shares dilution to raise cash instead.
𝗪𝗵𝗲𝗻 𝗰𝗮𝗻 𝘄𝗲 𝗲𝘅𝗽𝗲𝗰𝘁 𝗽𝗿𝗼𝗳𝗶𝘁𝗮𝗯𝗶𝗹𝗶𝘁𝘆 𝗮𝗻𝗱 𝗳𝗶𝗻𝗮𝗹 𝘁𝗵𝗼𝘂𝗴𝗵𝘁𝘀
This is a very competitive market, and there are many solutions for renewable energy.
The story is, the demand for renewable solutions is spiking like never before, and current offers will not be enough to fund the demand.
With Frances Arnold on Joe Bidens Science Team, the chance to get finance increases, but it is not guaranteed, nor we know when it will arrive.
Bill Gates’s push to modernize farmland may, or may not use Gevo products, but it’s definitely something to consider.
This is a very 𝘀𝗽𝗲𝗰𝘂𝗹𝗮𝘁𝗶𝘃𝗲 𝘀𝘁𝗼𝗰𝗸 that composes around 4.5% of our portfolio.
The idea is to let it roll for a couple of months and see how everything will turn out, checking if demand for these fuels will rise.
For now, we will keep it in our portfolio as the mission is clearly aligned with the new management team and world direction.
What are your thoughts on the company?
Bill Gates understands the importance of biofuel
Joe Biden Clean Energy
Joe Biden plan for a clean energy revolution