Gevo Inc., a leader in renewable fuels and chemicals, had a strong first quarter in 2025. The company is seeing early success in selling low-carbon fuels and has plans to make the business profitable in the future.
Notably, tax credits, project funding, and small SAF plant installations are driving its growth. These efforts will also help Gevo grow in the SAF market and reach its sustainability goals.
Gevo’s Revenue Surges on Acquisition, RNG Growth, and Carbon Credit Gains
Gevo’s Q1 2025 revenue hit $30.9 million, a significant increase from last year. This growth includes $22.8 million from the newly acquired Gevo North Dakota. It also features gains in renewable natural gas (RNG) and environmental credits.
The RNG segment earned $5.7 million, up $1.7 million from last year. This boost came from a favorable carbon intensity (CI) score from California’s LCFS program.
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Environmental attributes sales totaled $5.4 million.
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Gevo North Dakota produced 11.1 million gallons of low-carbon ethanol and sequestered about 29,000 metric tons of CO2.
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RNG output reached 79,963 MMBtu, resulting in over 60,000 metric tons of LCFS credits.
Carbon Abatement Gains Market Traction
In Q1, Gevo recorded over 100,000 metric tons of carbon abatement, now viewed as a marketable product. This includes captured and sequestered carbon, plus emissions avoided from using low-carbon fuels. The company expects Section 45Z tax credits to further enhance its adjusted EBITDA in 2025.
Dr. Patrick Gruber, Gevo’s Chief Executive Officer, commented,
“We believe we can get to positive Adjusted EBITDA this year for the company. This is in spite of the perceived headwinds and noise in the marketplace. We have real products to sell now that we own our North Dakota plant. Gevo North Dakota produces ethanol, animal feed, corn oil, and importantly, carbon abatement. The carbon abatement value is generated by capturing CO2 and sending it more than a mile underground into what we think is the best well (or sequestration site) in the country. Having this carbon abatement available to us has opened up new doors in the marketplace as customers and partners don’t have to wait around for synthetic aviation fuel (“SAF”) projects to be built to start developing the market in a real sense. We have approval from the Internal Revenue Service to apply for the Section 45Z tax credit, so we will do that, and that should help meet our Adjusted EBITDA goals.”
New Jet Fuel Offtake Deals Signal Growth Path
In April, Gevo secured two new offtake agreements:
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Future Energy Global (FEG) signed for 10 million gallons/year of SAF and its Scope 1 and 3 emissions credits.
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Another buyer committed to 5 million gallons/year of SAF, separate from the associated carbon abatement credits.
These deals will help fund Gevo’s upcoming ATJ projects in the Dakotas, including the 30 MGPY modular ATJ-30 facility, which is already 50% contracted.
Dr. Gruber further emphasized that Gevo stands out in the ATJ space by using proven, scalable technologies to produce high-yield, low-cost jet fuel with a low carbon intensity. Backed by 100+ patents, Gevo’s innovation attracted Axens, which licensed Gevo’s advanced ATJ processes.
The company aims to conserve capital costs, build modular fuel plants, and license 100 patented technologies.
Verity Platform Expands Customer Base
Gevo’s Verity carbon tracking platform now counts Landus and Minnesota Soybean Processors as customers. This enhances traceability and regulatory reporting for sustainable agriculture.
Gevo is Paving the Way for a Low-Carbon Future
Gevo is a pioneer in low-carbon fuels and chemicals from renewable sources. Its advanced technology makes Sustainable Aviation Fuel (SAF), motor fuels, and eco-friendly materials. These products work well with current engines and infrastructure. This ensures an easy transition from fossil fuels.
Patented Ethanol-to-Olefins (ETO) process
In September, the U.S. Patent and Trademark Office granted Gevo a patent (U.S. Patent No. 12,043,587 B2) for its Ethanol-to-Olefins (ETO) process. This boosts its role in renewable fuels. This patent protects their advanced catalyst technology that efficiently converts ethanol into olefins.
Gevo’s SAF Technology
Gevo and LG Chem are collaborating to scale this process for chemical use. They want to improve the technology for business use. This creates a greener option to regular petrochemical olefins.
Their goal is to streamline fuel production by making larger olefins directly from ethanol in one step. These olefins can then be turned into transportation fuels using proven refining methods.
This innovation boosts efficiency, cuts energy use, and lowers costs. Most importantly, it helps achieve zero or even negative carbon emissions, making biofuels more sustainable.
SAF: The New Path to Net Zero
Through its Verity subsidiary, Gevo ensures transparency in sustainability tracking. As global jet fuel demand rises, SAF presents a significant opportunity to cut emissions and promote a cleaner future.
Its proprietary ATJ technology is a game changer for its cost efficiency and environmental impact. It can produce jet fuel at prices competitive with traditional oil-based options while achieving ultra-low to net-zero carbon intensity.
- The system can offset over 600,000 metric tons of CO₂ annually—three times more carbon than the amount of fuel produced.
- It cuts fossil natural gas use by 65%, making it highly energy-efficient.
Thus, cutting carbon emissions through renewable fuels and chemicals is their main goal. Gevo runs one of the biggest dairy-based renewable natural gas plants in the U.S. It also has an ethanol plant that uses carbon capture technology.
With active carbon capture, proven SAF pathways, and new market partnerships, Gevo can expand its renewable energy business and reach profitability this year.
