Gevo Inc (NASDAQ:GEVO) is down 13.5% in a week after announcing that its dairy manure-based renewable natural gas project affiliate, Gevo NW Iowa RNG, LLCC in northwest Iowa, had entered definitive agreements with BT Porducts North America Inc. and BP Canada Energy Marketing Corp for the sale of the project’s production.
The construction of the project is ongoing and will commence production early next year. Once completed, the NW Iowa RNG project will produce around 355,000 MMBtu of RNG annually. In addition, the renewable natural gas will be sold in the California market as per a dispensing engagement with Clean Energy Fuels Corp.
Recently Gevo announced its Q2 2021 financial results in which revenue was $0.4 million compared to $1 million in Q2 2020. Net loss was $0.09 per share in Q1 2021 compared to $0.4 per share a year ago. CEO Patrick Gruber said that the company’s Net Zero 1 Project construction is progressing well. Currently, the company is in the process of figuring outs integrations and optimization to generate more cash. In the coming weeks, GEVO is worth watching.
Market Reaction:
On Tuesday, GEVO stock slid 0.57% at $5.24 with more than 5.11 million shares, compared to its average volume of 8.34 million shares. The stock has moved within a range of $5.11 – 5.43 after opening the trade at $5.14.
