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gevoAdvancing the New Era of Renewables
Mark Smith, Chief Financial Officer
Gevo, Inc
An Alternative Solution for Plant Owners
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gevoGevo: Who We Are …
• Founded in 2005, based in Englewood, Colorado.
• Experienced & successful management team• Team has developed and commercialized biobased ethanol, lactic acid, PLA polymers, lysine, others
• 45 employees
• Pilot plant, laboratory & office space totaling 30,000 square feet
• >165 patents & applications including exclusive licenses from UCLA (isobutanol pathway) and Cargill (cellulosic sugars)
• Exclusive development & commercialization agreements with ICM
• 1 million gallon per year demo plant in St. Joseph, MO with ICM
• Committed to becoming the world leader in renewable fuels and chemicals
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Englewood, CO St. Joseph, MO
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Corn
Sugar
Cellulosic
Other
Biology
Bioprocessing
Chemical Processing
Business Overview
Feedstock Processing Fuels & Chemicals
Fuel Blendstocks and
Hydrocarbons
Chemicalsand
Chemical Intermediates
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gevoA Path to Renewable Hydrocarbons
Isobutanol• Already used directly in the chemical industry
• Hydrocarbon-like properties makes it useful directly in fuels
• Excellent fuel blendstock properties
• Compatible with existing industry infrastructure
• Easily converted into hydrocarbons for chemicals and fuels
• Toxicology is well known and understood, readily biodegrades
• Can be made inexpensively via fermentation
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CH3
CH3 CH2CH
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-H2O
Isobutanol is a platform for many types of hydrocarbons
IsobutyleneIsobutanol
Gasoline Blendstocks
Diesel Blendstocks & Additives
Xylenes and other aromatics terephthalic acid
PETother polymers
+ C8, C12, C16 MixturesJet Fuel
Isooctene
Other Monomers
Solvents
or
ETBE
Methyl Methacrylate (MMA)
Butyl Rubber
Additives (antioxidants, plastics modifiers)
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Chemical Market $2.1 B
Isooctene Market $13.3 B
Ethanol Market $13.2 B
High Value Blendstock Market $40.9 B Alkylate Market
$55.4 B
Jet Fuel Market $66.5 B
Diesel Market $106.4 B
Chemical Grade Isobutylene $8.9 B
High Purity Isobutylene $2.8 B
$0.00
$0.50
$1.00
$1.50
$2.00
$2.50
$3.00
$3.50
$4.00
$4.50
0.0 5.0 10.0 15.0 20.0 25.0 30.0 35.0 40.0 45.0 50.0
Mar
ket P
rice
$/g
al
Market Size (Billion Gallons per Year)
Access to Multiple Large Markets
Market Size
Source: EMI, OPIS, Gevo
A low cost “platform approach” enables access to multiple large markets worth over $290 Billion$65/bbl Oil, $3.75 corn
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Chemical Market $1.1 B
Isooctene Market$2.7 B
Ethanol Market $1.2 B
High Value Blendstock Market $10.8 B
Alkylate Market $0.9 B
Jet Fuel Market $2.8 B Diesel Market $3.5 B
Chemical Grade Isobutylene $2.3 B
High Purity Isobutylene $1.0 B
($0.50)
$0.00
$0.50
$1.00
$1.50
$2.00
$2.50
0.0 5.0 10.0 15.0 20.0 25.0 30.0 35.0 40.0 45.0 50.0
Net
Mar
gin
$/ga
l
Market Size (Billion Gallons per Year)
Attractive Margin Pools
Margin Pools (No Subsidy)
$65/bbl Oil, $3.75 cornSource: EMI, OPIS, Gevo, CEH
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gevoAdvancing the New Era of RenewablesgevoDevelopment of Gevo
Current Feedstocks; Corn, sugar, starches
Future Feedstocks; Cellulosics, Biomass
gevoCritical Few Customer/Partners in Each Market License
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gevoAdvancing the New Era of RenewablesgevoConflict of RFS and Air Quality Create Opportunity
0
5
10
15
20
25
30
35
40
RFS2
Obl
igat
ion
(exc
ludi
ng b
iodi
esel
) (BG
Y)
E10 Oxygen Content less than 3.7% by weight Oxygen Content must exceed 3.7% by weight
Would there be a “blend wall” if you had renewable hydrocarbons?
RFS can not be met unless the limit on oxygen content is increased
Market for E10 - 3.7% oxygen content“Ethanol Blend Wall”
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• Clean, low RVP blendstocks – Isobutanol– Isooctene– Isooctane
• Qualify as renewable fuels
• Reduce/eliminate capital outlay
• Creates options for changing market demand
– Jet– Diesel
• Increasing regulatory pressure– RVP– Benzene– Sulfur
• Meeting the RFS mandate
• Global economic downturn– Low refining margins– High reinvestment costs– Tight capital markets
• Changing market demand
Hydrocarbon Solutions Address Refining Challenges gevo
Refining Challenges Solutions
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gevoProperties of Isobutanol & Renewable Hydrocarbons
Regular Gasoline
RenewableIsobutanol
RenewableIsooctene
RenewableIsooctane
Blend octane(R+M/2)
87 102 108-112 100
Blend RVP (psi) 7 - 14 4 - 5 1 - 2 1 - 2
Relative Energy 100% 82% 98% 95%
Aromatics 10-35% 0% 0% 0%
Sulfur (ppm) 30 < 1 < 1 < 1
Fungible Yes Yes Yes Yes
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gevoIsobutanol Lowers RVP in Gasoline
5.0
6.0
7.0
8.0
9.0
0% 5% 10% 15% 20% 25% 30%
RVP
(psi
)
% Alcohol in Blend
Base Reference Gasoline
Ethanol Blends
Isobutanol blends
10% Ethanol + Isobutanol Blends
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gevoRenewable Gasoline that meets ASTM Specs
Hydrocarbon fingerprint
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Typical Refinery Gasoline
Gevo 90% Renewable Gasoline
AnalysisRefinery Gasoline
Renewable Gasoline
Octane(R+M/2)
87 > 100
Sulfur(ppm)
60 < 1
Benzene(%)
2.0 < 0.1
Aromatics(%)
32 20
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gevoRenewable Jet Fuel That Meets ASTM Specs
14
Conventional Jet “A” Fuel
Renewable Jet Fuel
Density at 15 °C (Kg/L)
0.775-0.840 0.770
Boiling Point (°C)
150-300 170-300
Flash Point(°C)
38 49
Freezing Point (°C)
-47 -81
Smoke Point(mm)
25 28
Lubricity,BOCLE(mm)
> 0.85 0.85
n-C9
n-C10
n-C11
n-C12
n-C13
n-C14
Conventional Jet Fuel
i-C12
i-C16
Renewable Jet Fuel
Specification
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Butanol• Low yield (usually due to lower
value coproducts, e.g. ABE)• Kills production organism before it
gets to economical concentration• Difficult and expensive to
separating butanol away from water
• High capital cost
Gevo Addresses Critical Issues of Isobutanol Production
• Biocatalyst that produces only one product—isobutanol (No ABE)
• Gevo’s Integrated Fermentation Technology (GIFTtm) yields economic concentrations and a simple, inexpensive way to separate butanol from water
• Incremental capital add on to ethanol plants
• High purity feedstock & intermediates• “Green” hydrocarbon technology• Less steps = less capital
Hydrocarbons• Complex mixtures and separations• Acidic conversions, high temperature
and pressure reactions• Capital Intensive
Challenges Solution
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gevoMitigating Risk in Commercialization
Make products that can be adopted quickly
Speed of Adoption
Well Known Hydrocarbons
Well known Hydrocarbon-like
AlcoholsUnknown
Competitors
Market Adoption
IsobutyleneIsoocteneAlkylateJet Fuel
Chemical Isobutanol
FuelIsobutanol
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gevoMitigating Technology & Implementation Risk
Chemistry
Process Equipment
Microbe• Anaerobic• Performs like Ethanol
• Use proven, well known equipment for process
• Years of commercial operation at scale globally
• Low temperature, low pressure
• Avoid mass transfer/heat transfer issues
KEEP IT SIMPLE
Process Technology
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gevoIsobutanol Fermentation Fits a Dry Mill Footprint
0
20
40
60
80
100
1/1/
07
4/11
/07
7/20
/07
10/2
8/07
2/5/
08
5/15
/08
8/23
/08
12/1
/08
3/11
/09
6/19
/09
9/27
/09
1/5/
10
%
Yield (% max theoretical.)
0
0.5
1
1.5
2
2.5
1/1/
07
4/11
/07
7/20
/07
10/2
8/07
2/5/
08
5/15
/08
8/23
/08
12/1
/08
3/11
/09
6/19
/09
9/27
/09
1/5/
10
g/l/h
Productivity (g/l/h)Corn Dry Mill Target
Cellulosic Biomass Target
0
20
40
60
80
100
1/1/
07
4/11
/07
7/20
/07
10/2
8/07
2/5/
08
5/15
/08
8/23
/08
12/1
/08
3/11
/09
6/19
/09
9/27
/09
1/5/
10
g/l
Titer (g/l)Corn Dry Mill Target
Source: Gevo Testing
Isobutanol
Gas Chromatograph of Fermentation BrothCorn Dry Mill Target
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gevoJump Start to Demo gevo• Demo Plant
– 1 MGY nameplate capacity
– Purpose is to generate samples and confirm engineering parameters
– ICM estimates it will take 3-4 months to build
– Located at ICM, St. Joseph, MO
– Significantly reduces capital cost and time
• Leading provider of first-generation ethanol technology
• Engineered and licensed technology for over 100 Plants
• Exclusive Partner ship Agreement with Gevo
– 3, 4, 5 carbon alcohols
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gevoMitigating Risk in Commercialization
Keep capital investment low by leveraging existing infrastructure
Capital Investment
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iBuOH Process Unit(~$30M CapEx to retrofit
100MGPY Ethanol)
Commercialization Strategy•Access capacity via retrofits of existing ethanol (tolling)• Enter market with high value products•Use existing petrochemical channels and infrastructure•Add technology and production capability incrementally•Readily scalable technology
Capital Light Approach: Re-purpose Ethanol Plants
BiocatalystChange
Animal Feed(~5kg for each gallon produced)
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Step 1
Step 2Hydrocarbon Unit (~$18M CapEx for
100MGPY Ethanol)Biomass Converting UnitStep 3
DieselJet
Gasoline
Isobutanol
HydrocarbonsChemicals
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gevoBiomass to Hydrocarbons
DieselJet
Gasoline
Isobutanol
Hydrocarbons
Animal Feed
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Biomass Converting UnitStep 3
Grinding Hydrolysis
Lignin
0.0020.0040.0060.0080.00
100.00120.00
Tite
r of i
BuO
H
Energy
Chemicals
Acid Recovery
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gevoAdvancing the New Era of RenewablesgevoTimeline
Pilot Plant Scale
Commercial Scale
2009 20102008 2011
Demonstration Plant Scale
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gevoAdvancing the New Era of RenewablesgevoEnables Alignment of Total Value Chain
Ethanol Producer re-purpose their capacity to value added products
Refiners achieve flexibility to integrate renewable products
Agriculture gains further markets for products
Animal producers gain value added feed
Environment gets lower GHG’s and emissions
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gevoAdvancing the New Era of RenewablesgevoEnables Alignment of Total Value Chain gevo
Ethanol Producer re-purpose their capacity to value added products
Refiners achieve flexibility to integrate renewable products
Agriculture gains further markets for products
Animal producers gain value added feed
Environment gets lower GHG’s and emissions
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gevoWho Are We….
Real People, Real Innovation
– Founded in 2005
– 45 employees
– Based in Englewood, Colorado.
– Committed to becoming the world leader in renewable
fuels and chemicals
Investors:
Malaysian Life Sciences Capital Fund
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Highlights
Gevo Summary gevo
• Gevo’s Integrated Fermentation Technology (GIFTtm): Unique organisms and process
• 165 patents filed Blocking approach
• Platform intermediate readily converts to hydrocarbons: gasoline, jet, diesel
• Economically viable routes to chemicals and plastics such asPMMA and PET
• Leverage existing infrastructure Retrofit traditional ethanol plants; avoid “blenders wall”
• Readily scalable low cost technology Speed
• Multiple feedstocks Proven on corn and cellulosics
• Exclusive partnership with ICM, the leader in technology and engineering for biorefineries
• 1 MGPY Demo Plant to come on-line in summer of 2009
gevoAdvancing the New Era of Renewables
Thank You
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