Gevo, Inc. · NASDAQ:GEVO
Gevo — Investor Presentation (February 2020)
39 slides from Gevo's investor presentation, Feb 18, 2020
Slide 1: Overview – Patrick Gruber, CEO
Slide 2: Forward Looking Statements
FORWARD LOOKING STATEMENTS ‘Any statements in this presentation about our future expectations, plans, outlook and prospects, and other statements containing the words “believes,” “anticipates,” “plans,” “estimates,” “expects,” “intends,” “may” and similar expressions, constitute forward-looking stat
Slide 3: Overview of Gevo
OVERVIEW OF GEVO Business Overview + Headquarters: Englewood, CO + Founded: 2005 + Employees: ~50 (20 in Colorado, 30 in Minnesota) + 20-Contractors + Proprietary technology positon (patents and know-how) for the production of Isobutanol and hydrocarbon fuels and chemicals + Technologies proven to w
Slide 4: Other Relevant Information
OTHER RELEVANT INFORMATION + Cash ~ $20.9 Million (9/30/2019) + Debt — 2020/2021 Notes (Whitebox): $14.4 million principal (1/10/2020) + Common Shares ~* 13.4 million (9/30/2019) + Warrants ~54,989 Warrants outstanding @ weighted avg of $154/share (9/30/2019) + Current Analysts ~ Amit Dyal, HC Wainw
Slide 5: We All Have a Problem, and It Can't Be Ignored
WE ALL HAVE A PROBLEM, AND IT CAN'T BE IGNORED Pollution _ FOR KLMIATE
Slide 6: We Are Going to New Heights of GHG's, and It Likely Isn't a Good Thing
WE ARE GOING TO NEW HEIGHTS OF GHG'S, AND IT LIKELY ISN'T A GOOD THING + Carbon dioxide has doubled since the age of fossil fuels * Levels will continue to rise unless we change Teercove data before 1958, Mauna Loa dat after 1958, I [=] i - === & os) a | Dyers pire Vly A ba [ovr] & 100 - 50 1380) ry
Slide 7: Recent Headlines
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Slide 8: The Problem: Fossil Carbon in the Atmosphere Increasing
THE PROBLEM: 2017 FOSSIL CARBON IN THE ATMOSPHERE INCREASING unouscownce warmers 2% gevo’ Maio gg cca ne ® 1 . a year a ‘ ie
Slide 9: What Can We Do?
WHAT CAN WE DO? : + Eliminate burning of fossil- LAND UsEcHANGe NATURAL GAS ™% gevo based carbon in production foo ee ANOsi OCEAN ie of electricity and transportation fuels + Use forestry and agriculture to capture carbon in the soil, plants, and trees
Slide 10: We Are Going After the "Whole Gallon" with an Ultra-Low Carbon Score
WE ARE GOING AFTER THE “WHOLE GALLON” WITH AN ULTRA-LOW CARBON SCORE Paradigm Shift + Drop-in + Works with all types of engines " " * + Works with all ages of vehicles + Compatible with fuel infrastructure (tanks and pipelines) FOSSIL BASED ‘1° GENERATION GEVO - 2° GENERATION + Easy to adopt ‘BIO-BA
Slide 11: Market Potential Is Liquid Transportation Fuels
MARKET POTENTIAL IS LIQUID TRANSPORTATION FUELS... Rate of adoption will be driven by price and financing WORLD WIDE 955 BGPY US TOTAL 229 BGPY tate asolne What will the penetration rate be? gevo
Slide 12: ...And Will Be Around a Long Time
..AND WILL BE AROUND A LONG TIME Transportation sector consumption (by fuel) Light-duty vehicle sales by fuel type (AE02020 Reference case) (AE02020 Reference case) uadrilion British thermal units mrlions of vehicles 30 18 16 25 4 plug-in hybrid 20 % electric 10 vehicle 15 8 lect 10 6 jet fuel 4 $ e
Slide 13: A New Generation of Low Carbon Drop-In Transportation Fuels
A NEW GENERATION OF LOW CARBON DROP-IN TRANSPORTATION FUELS Target Markets/Products (>800 BGPY) Raw Materials ¥ DPT a RHE] rotcton ctcts wek + Products work Gasoline (Isooctane) e = Fe + Markets are developing + We are selling products ‘Oxygenated Blendstocks for Gasoline + We still need to achieve
Slide 14: Our Technology Leverages the Best of Biology and Chemistry
OUR TECHNOLOGY LEVERAGES THE BEST OF BIOLOGY AND CHEMISTRY sepia Carbohydrate (sugars) Isobutanol Jet Fuels Proprietary Yeast gevo
Slide 15: Replace the Carbon Source and Energy Source to Eliminate GHG's from Fuels
REPLACE THE CARBON SOURCE AND ENERGY SOURCE TO ELIMINATE GHG’S FROM FUELS Carbon Process Source Energy qi oss >> Increased co, Reduced co,
Slide 16: >2 lbs. of CO2 Sequestered per Gallon
>2 lbs. of CO2 sequestered per gallon!, but could be much higher ‘according to recent reports FERTILIZER LOW CARBON CYCLE MIDWEST USA SUSTAINABLY GROWN ¥ Z ~e® x = MANURE eo”? % DAIRY, BEEF, POULTRY PIG TO FOOD. 10 Ibs. of protein/feed per gallon of hydrocarbon fuel BIOFUEL PLANT. PROTEIN AND FEED
Slide 17: Cellulosic Feedstocks Are Enabled
CELLULOSIC FEEDSTOCKS ARE ENABLED co? | eer zeman LEAF gevo
Slide 18: We Can Get to Very Low Carbon Footprints
WE CAN GET TO VERY LOW CARBON FOOTPRINTS And get paid for it oma "umm ‘CARBON ‘The carbon footprint has potential to be driven to negative with agricultural practices or with more renewable natural gas (RNG) gevo
Slide 19: Hydrocarbon Fuels: How to Drive the GHG Footprint Down and Even Negative
HYDROCARBON FUELS: HOW TO DRIVE THE GHG FOOTPRINT DOWN AND EVEN NEGATIVE! And produce protein too 90,4 MO Hydrocarbon 150 Foss Fue! ‘AiLForms Reduced Til Noi 2017 Farms. Farms “10 Agriculture improvements are practical and being done + We expect to be able to meet RED II, RSB, and ISCC requirements
Slide 20: Certification and Tracking
CERTIFICATION AND TRACKING “Gevo's RSB certification is a great moment for the bioeconomy as it demonstrates that key components of jet fuel can be produced in a way that not only dramatically reduces greenhouse gas emissions but also ensures real positive social and environmental impacts...” -- Rol
Slide 21: We Can Use Carbohydrates from Many Sources
WE CAN USE CARBOHYDRATES FROM MANY SOURCES 1 BGPY requires about 3 Million Tons of Feedstock for jet (at a minimum)*
Slide 22: How to Achieve Profitability and Get on the Path to a Multi-Billion Dollar Business
HOW TO ACHIEVE PROFITABILITY AND GET ON THE PATH TO A MULTI-BILLION DOLLAR BUSINESS
Slide 23: The Aviation Industry Has an Opportunity... and a Problem
THE AVIATION INDUSTRY HAS AN OPPORTUNITY... AND A PROBLEM They are expecting to experience strong growth.... but they have promised to hold GHG emissions flat from 2020 onward ver Year Projected Jet Fuel Demand Growth: ~38GPY eek UN. Agency Proposes Limits on Airlines Carbon Emissions Growth that th
Slide 24: Gevo Jet Fuel
GEVO JET FUEL
Slide 25: Products Work, We Are Building Experience
aX PRODUCTS WORK, WE ARE BUILDING EXPERIENCE FLYGREEN Fede ens FARNBOROUGH AIRPORT cirrus xonewam @airbp veonncne Ml CHICAGO O'HARE FARMINGDALE NEW YORK AIRPORT <emanaen
Slide 26: We Intend to Replace the "Whole Gallon" of Gasoline (Ultimately)
WE INTEND TO REPLACE THE “WHOLE GALLON” OF GASOLINE (ULTIMATELY) Isooctane (the hydrocarbon) is the major component of gasoline Se ceboyenidies (low sulfur, low + We believe we have the only proven technology to produce it from aromatics, low olefins) renewables ™ gevo + No particulates, no sulfur,
Slide 27: Isooctane in Performance Fuels
ISOOCTANE IN PERFORMANCE FUELS Start with high value niche Up to 4MGPY under take-or-pay contract Haltermann (2 Carless
Slide 28: Isobutanol as a Gasoline Blendstock
ISOBUTANOL AS A GASOLINE BLENDSTOCK Isobutanol delivers better properties than other renewable alcohol blendstocks + Higher energy (potential for more miles per gallon) + Less corrosivity (less wear and tear on certain types of engines) Ethanol Free: ~7BGPY* Ethanol Free Gasoline in Houston Market S
Slide 29: We Can Be Cost Competitive with Commodity Petro-Based Fuels
WE CAN BE COST COMPETITIVE WITH COMMODITY PETRO-BASED FUELS AND OTHER HYDROCARBON PRODUCTS + Use the carbon value to offset the required price of our products + Carbon value is more reliable because of LCFS and EU RED policies ~ Debt providers have indicated that they are more comfortable with ongoi
Slide 30: Renewable Hydrocarbons Should Eventually Be Less Expensive
RENEWABLE HYDROCARBONS SHOULD EVENTUALLY BE LESS EXPENSIVE Takes a combination of oil price and “green value” Price Potential Renewable Hydrocarbon Fuel Net Price* Time gevo
Slide 31: Getting to Economies of Scale
Getting to Economies of Scale Process and products proven to work
Slide 32: Making Products
MAKING PRODUCTS 1 Million Liter Hydrocarbon Production* Ethanol and IBA Fermenter Silsbee, TX Production - Luverne, MN
Slide 33: Current Production & Products
CURRENT PRODUCTION & PRODUCTS 100 Hon bs. 4 1 1.5MGPY ~SOKGPY —_~S0KGPY ‘anal Feed s Co TBA JetFoel ——sooctane gevo
Slide 34: Achieving Economies of Scale at the Luverne, MN Site
ACHIEVING ECONOMIES OF SCALE AT THE LUVERNE, MN SITE IBA AND HYDROCARBONS (JET AND ISOOCTANE)
Slide 35: Greater Than $500M of Revenue Under Take-or-Pay Contracts
GREATER THAN $500M! OF REVENUE UNDER TAKE-OR-PAY CONTRACTS 2) Haltermann ADELTA §[4§ ob Gi ) TOTAL City of Seattle The focus Is project financing backed by these contracts m =<: chap See gevo
Slide 36: Business Model Is Evolving to "Build, Operate, and Maintain"
BUSINESS MODEL IS EVOLVING TO “BUILD, OPERATE, AND MAINTAIN” Our contracts are growing faster, demand is happening faster, creating opportunity sooner + Gevo Role RZ ae — Project developer - ~ Technology licensor —Plant operator Maintainer ~ Business developer (Signing off-take agreements with custo
Slide 37: Plan for Revenue Growth for Gevo Products
PLAN FOR REVENUE GROWTH FOR GEVO PRODUCTS! Step 1 Step 2 PROJECTED PROJECTED 2021 Earliest could be 2023/2024 20H, 1B and Iseoctane Product Sales ‘Revenue? (SHH) ‘hand (36FH) nour so ”~«O Ma = ma seo Ker 2 2a mer un ocr ance? p25 some st somare 5275 Protein, Feed, Feed Products, 70-0018 soz 9140 917
Slide 38: Business Summary
BUSINESS SUMMARY The Problem: + Fossil fuels emit fossil greenhouse gasses (GHGs) + Companies want to mitigate lability + Governments want to reduce GHG emissions + Consumers care about pollution and want GHGs addressed The Solution: + *Decarbonize.” Lower the carbon footprint of fuels by replacing
Slide 39: Vision: Whole Gallons, Net Zero
Vision: “Whole Gallons, Net Zero”