US-based biofuels company Gevo has partnered with three dairy farms that will provide manure to be converted into pipeline-quality biogas or renewable natural gas (RNG). The three dairy farms expect to generate around 350,000 MMBTU of biogas per year for sale to off-takers, or to be used by Gevo’s affiliate, Agri-Energy.
Through the new contracts, Gevo is hoping to reduce and eliminate the fossil footprint caused by running its biofuels production facility in Luverne, Minnesota. The contracts, in conjunction with wind power, should enable any biofuel produced at the facility to have a lower carbon intensity score as well as increased value.
“These three dairy farms represent what I envisioned as Phase 1 of the biogas cluster, consisting of 8-10 total farms once the system is fully built out,” said Patrick R. Gruber, CEO of Gevo. “We aim to change mindsets by demonstrating you can change waste from being a pollution problem to a renewable energy solution in the liquid fuels market.”