Gevo Enters On-Road Automobile Gasoline Market in Houston

November 13, 2016 |

In Colorado, Gevo’s gasoline blended with its isobutanol and marketed for use in automobiles has begun to be sold in the Houston area.  This marks the first time that Gevo’s isobutanol has been specifically targeted towards on-road vehicles. Previously, Gevo and its partners have focused on specialty markets such as marinas and off-road engines.

Musket Corporation is Gevo’s distribution partner serving the Houston market. Musket is blending up specially formulated gasoline containing Gevo’s isobutanol to distribute into the on-road automobile market.  Buc-ee’s, a 37-store regional chain of rest stops in Texas, is the first company to sell the blend, marketed as a high-performance ethanol-free gasoline.

The 12.5% blend of isobutanol and gasoline is attractive to customers who are looking for a high-performance alternative to ethanol-blended gasoline.  The on-road gasoline market represents a much larger market opportunity for isobutanol than specialty segments.  Selling into the on-road market also counterbalances the seasonal nature of some of the specialty markets like marinas.

This announcement expands on the previously publicized partnership between Gevo and Musket.  In June, Gevo announced it had entered into an agreement with Musket to supply isobutanol for blending with gasoline.  Musket is a national fuel distributor under the umbrella of the Love’s Family of Companies and specializes in commodity supply, trading and logistics across North America.  Under the partnership, the initial target markets were Musket’s marine and off-road customers in Arizona, Nevada, and Utah.

More on the story.

Category: Fuels

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