Gevo, Inc. · NASDAQ:GEVO
Gevo — Investor Presentation (August 2021)
43 slides from Gevo's investor presentation, Aug 12, 2021
Slide 1: Beyond Net-Zero – August Investor Deck
Slide 2: Forward Looking Statements
FORWARD LOOKING STATEMENTS Any statements in this presentation about our future expectations, projections, estimates, plans, outlook and prospects, and other statements containing the words “believes,” “anticipates,” “plans,” “estimates,” “expects,” “intends,” “may” and similar expressions, constitu
Slide 3: Gaining Perspective and Framing the Problem
Gaining Perspective and Framing the Problem
Slide 4: Gaining Perspective
obal greenhouse GAINING PERSPECTIVE It’s the burning of fossil carbon to make electricity, to heat buildings and production processes, and for transportation that generates the vast majority of GHG emissions Electricity demand is going to go up: + 30% of people in the world don’t have access to elec
Slide 5: Gaining Perspective
GAINING PERSPECTIVE Global primary energy consumption by source Ba Innes production am tls Tis shan on genes oso ns account of netics 84.3% of global energy ieee comes from fossil fuels, Biofuels Solar ing
Slide 6: In the US: Electricity, Transportation, and Industry Need to Be Primary Targets for GHG Reduction
IN THE US: ELECTRICITY, TRANSPORTATION, AND INDUSTRY NEED TO BE PRIMARY TARGETS FOR GHG REDUCTION—WE NEED TO REPOWER (FASTER) U.S. Greenhouse Gas Emissions by Economic Sector, 1990-2019, CCanbe eimnated wth renewable enecay Imnated vith win, solr, CHP of renewables ike RNG, (and nudes?) 50% ofths In
Slide 7: Transportation Sector: Demand for Hydrocarbon Fuels Even in Optimistic EV Cases
TRANSPORTATION SECTOR: EVEN IN THE MOST OPTIMISTIC ELECTRIC VEHICLE, FUEL CELL, HYBRID CASES, THE DEMAND FOR HYDROCARBON FUELS IS IN THE HUNDREDS OF BILLIONS OF GALLONS Projections of Quantity of Energy Delivered by ean aents atone Sais TWN): Hydrocarbons to Transportation Sector in 2040 and 2050 +
Slide 8: Enormous Total Addressable Market
ENORMOUS TOTAL ADDRESSABLE MARKET Total Market 80%+ EV Scenario (Low Estimate) replacements t hide get better mileage, less smoc 46 Million Panned Capady of One Gevo Net-er0 plant
Slide 9: Liquid Fuels Are in Our Future...The Question Is How Much?
LIQUID FUELS ARE IN OUR FUTURE...THE QUESTION IS HOW MUCH? Current EIA Projection of ‘Transportation sector consumption (by fuel) ‘quadrilion British thermal units 2019 history | projections 25 20 jet fuel electricity other 2010 © 2020» 2030 Hypothetical Projection Assuming Significant Penetration O
Slide 10: Thinking About Cars: Eliminating Tailpipe Emissions on a Full Life Cycle Basis
THINKING ABOUT CARS: WHAT IF WE COULD ELIMINATE THE TAILPIPE EMISSIONS OF CARS ON A FULL LIFE CYCLE BASIS? Lithium battery ml Other manufacturing Mm Fuel cycle m Talpipe ey Kiem Lifte-cyete emissions (over 150,000 km) of electric and conventional vehicles in Europe
Slide 11: If We Use a Net-Zero Fuel, It's Conceivable!
IF WE USE A NET-ZERO FUEL, IT’S CONCEIVABLE! Lithium battery ml Other manufacturing Mm Fuel cycle m Talpipe ey Kiem
Slide 12: Low-Carbon and Carbon Negative Fuels Have Potential to Reduce GHGs
LOW-CARBON AND CARBON NEGATIVE FUELS HAVE POTENTIAL TO REDUCE GHG’S AS MUCH AS, OR MORE THAN ELECTRIC VEHICLES—JF THEY ARE DONE THE RIGHT WAY Life-Cycle Emissions imates Per 100 Miles Renewable Hydrocarbon Fuels (RHF) can be competitive co seer - ac z eae op! ~ 24,000 7 23,00 Peen = g 20000 ae N N ~
Slide 13: Burning of Fossil Fuel Releases Fossil Carbon
BURNING OF FOSSIL FUEL RELEASES FOSSIL CARBON Liquid Hydrocarbons are a Terrific Energy Carrier; Infrastructure Already Exists o Isooctane (gasoline) © o Carbon Dioxide Water Burning to release energy! Jet Fuels
Slide 14: Moving Beyond Net-Zero: Sequestration of Carbon
MOVING BEYOND NET-ZERO: SEQUESTRATION OF CARBON Inherent Energy of Concentrating CO, and Putting the Energy <p Process Energy Back into the Fuels (Reverse of Burning) % Requires renewable carbon and co) renewable energy to achieve Net-Zero Carbon Dioxide Water ‘To Move Beyond Net-Zero GHG’s > Al AA
Slide 15: Eliminate Fossil Based Energy and Capture Renewable Carbon
ELIMINATE FOSSIL BASED ENERGY AND CAPTURE RENEWABLE CARBON GEVO'S BUSINESS SYSTEMS, FROM RAW MATERIALS TO RENEWABLE FUELS, EXEMPLIFIES THE CIRCULAR ECONOMY IN ACTION Driving the Life-cycle GHG's Emissions of Jet, Gasoline, Diesel and Chemicals to Net-Zero Fossil GHG ‘missions
Slide 16: Gevo & What We Do
GEVO & WHAT WE DO sem
Slide 17: Changing What Is Possible: Creating a Low-Carbon Future
CHANGING WHAT IS POSSIBLE: CREATING A LOW-CARBON FUTURE RENEWABLE ENERGY TRANSFORMED DECARBONIZATION OF FOOD, FUELS, CHEMICALS AND MATERIALS
Slide 18: High-Value Protein, Drop-in Gasoline, Jet Fuel, and Other Hydrocarbons
HIGH-VALUE PROTEIN, DROP-IN GASOLINE, JET FUEL, AND OTHER HYDROCARBONS WITH NET-ZERO GHG EMISSIONS WHEN BURNED Raw Materials ——— nescrea aim a a) material can
Slide 19: Key Information
KEY INFORMATION Cash, Cash Equivalents, Restricted Cash, ” i alana me iceman faciiaieabiiaaas
Slide 20: How We Do the "Reverse of Burning" in a Sustainable System
HOW WE DO THE “REVERSE OF BURNING” IN A SUSTAINABLE SYSTEM Proprietary Enabling Technology IP Portfolio Valued at +$400 million* 9° oO e of Carbohydrate (sugars) fo Isobutanol Proprietary Yeast Jet Fuels gevo
Slide 21: Improving Agriculture & Putting Nutrition into the Food Chain
IMPROVING AGRICULTURE & PUTTING NUTRITION INTO THE FOOD CHAIN Sustainable Agriculture Sparks the Whole Circular Economy + Nutrition first, Gevo will produce more protein products| based on tonnage! fuel products + Help farmers succeed, growing their operations and employing more people + Better econ
Slide 22: Market and Business Development
Market and Business Development
Slide 23: Demand Is Increasing: We Better Think Bigger, Sooner
DEMAND IS INCREASING: WE BETTER THINK BIGGER, SOONER Market Traction Attractive Contract Portfolio ¥ Large, Growing Portfoli — Approximately $1.6 billion‘) in take-or-pay contracts in place ~ Additional >$20 billion®) actively being discussed or negotiated with high-quality customers VY Long-Term: M
Slide 24: Ranking of Potential SAF Suppliers by Cash Cost of Production
RANKING OF POTENTIAL SAF SUPPLIERS BY CASH COST OF PRODUCTION ACCORDING TO NEXANT (NO CARBON VALUE INCLUDED) Coo ct SD pon) canst Copsty(e ps pee)
Slide 25: Net-Zero Projects
NET-ZERO PROJECTS Production plants that make “net-zero” ghg products
Slide 26: Perspective and Approach to Net-Zero Projects
PERSPECTIVE AND APPROACH TO NET-ZERO PROJECTS * Continue to focus engineering work, product mix, and unit operations to optimize economics and mitigate potential operating risks Target 18-20% levered IRR ~Create additional optionality and profit opportunities with additional products, i.e., + Maximi
Slide 27: Scope of Net-Zero 1 – Updated July 2021
SCOPE OF NET-ZERO 1*--UPDATED JULY 2021 ‘An “Off-the-Grid” Renewable Protein, Oil, Chemical and Hydrocarbon Plant** sso) we
Slide 28: Project Net-Zero Update and Summary
PROJECT NET-ZERO 1 UPDATE AND SUMMARY“) ENGINEERING WORK IS ON TRACK--WE ARE CONTINUING WORKING THROUGH OPTIMIZATIONS Key Projected Base Case Economics ervie ent Economi co Instaled Copal Cost “$720 Fy Fanced insted Coptal Cost $980 ProjectRevere s340350/ Project EBTTON 6150-160) RetunstoGev (evered
Slide 29: Key Financial Model Input Assumptions
KEY FINANCIAL MODEL INPUT ASSUMPTIONS () Gn $3400bu see pes Preece grin roe f corn ces waa to ay th caret ic of 45. SOar Buel 3, the react ere rice Saree Ge cen oflead Gov cocoa pneu canst bea, Conedevike Aponte s060% ote, feed poaurs ancomolte aul. Theva ofthe coprdics creitsta com pce. Rebol be no
Slide 30: Lake Preston and NZ1
Lake Preston and NZ1 ———. Lake Preston, South Dakota Status r - + Development costs fully funded + Construction equity fully funded + Capacity fully sold-out using take-or-pay contracts + EPC firm engaged in front-end engineering and design + Project delivery contract (EPC) in negotiation + Permitti
Slide 31: Work with Farmers, Eliminate the Fossil Emissions, Capture Carbon, Drive the GHG Footprint Down
Work with Farmers, Eliminate the Fossil Emissions, Capture Carbon, Drive the GHG Footprint Down
Slide 32: Going Beyond Net-Zero: Capturing Carbon in the Soil
GOING BEYOND NET-ZERO: CAPTURING CARBON IN THE SOIL ‘SUSTAINABLE AGRICULTURE OFFERS POTENTIAL UPSIDE IN COMBINATION OF RENEWABLE ENERGY IN PRODUCTION Impact of Agricultural Practice on Total Life-Cycle GHG Emissions for Hydrocarbons Burned for Transportation Energy Impact of oa pase roof ‘item viipe
Slide 33: Done Right, Growing Plants Puts Carbon from the Air into the Soil
DONE RIGHT, GROWING PLANTS PUTS CARBON FROM THE AIR INTO THE SOIL New Technology Potential
Slide 34: Gevo Global Certifications — Farm Certifications
GEVO GLOBAL CERTIFICATIONS — FARM CERTIFICATIONS a) ISCC PLUS certification enables Gevo to validate the responsible nature of its liquid transportation fuels and to highlight the traceability, qualifying that such fuels are produced in a sustainable manner RSB RSB certifies that Gevo adheres to the
Slide 35: Tracking Carbon and Sustainability Across the Business System
TRACKING! CARBON AND SUSTAINABILITY ACROSS THE BUSINESS SYSTEM £3 VERITY TRACKING Gevo is partnering with Blocksize Capital to establish a blockchain ‘technology for tracking Farmer Goud sustainability, building trust and setting the highest standards for the industry Ooo0e Savegs Encoded Tampersroo
Slide 36: Improve Agriculture, Generate More Protein and Capture Soil Carbon
WE SHOULD IMPROVE AGRICULTURE, GENERATE MORE PROTEIN AND CAPTURE SOIL CARBON, WHILE IMPROVING OVERALL SUSTAINABILITY Land Use Has Stayed Relatively Stable, While Yields have Dramatically Improved! smiconn- Pans Aine (et a) Deon ve motte) SHBERR Corn Produces Large Quantities of Protein, Oil, and Res
Slide 37: Creating Optionality and Profit with RNG
Creating Optionality, and Profit with RNG em
Slide 38: Gevo NW Iowa Renewable Natural Gas Facility
GEVO NW IOWA RENEWABLE NATURAL GAS FACILITY Description Status Ie : ¥ Under Construction and ON TRACK ¥ Start-up expected in early 2022 nea ¥ Sales & purchase agreement in place with bp
Slide 39: Renewable Energy and Carbon Transformed to Drop-ins
RENEWABLE ENERGY AND CARBON TRANSFORMED TO DROP-INS Easy to Store, Easy to Use, Drop-in, Works with Existing Infrastructure, Fleets, Chemical Processing and Plastics Production [> Protein and Corn Oil Wind Electricity Biogas Photosynthetic Energy Hydrogen 0 FE [> Drop in Chemicals and Plastics gevo
Slide 40: For Additional Information About Gevo
FOR ADDITIONAL INFORMATION ABOUT GEVO These short videos explain more about Gevo, our process, business system, and how we think about sustainability NET ZERO 1 (1:52): https://vimeo.com/540736374 Gevo - Solving Energy (2:00): https://vimeo.com/531083659 Working Toward Zero Carbon Footprint (2:46):
Slide 41: Appendix
APPENDIX
Slide 42: Forecast Citations: Global Forecasts
FORECAST CITATIONS: GLOBAL FORECASTS TIER ~ TEA (2020), World Energy Outlook 2020, TEA, Pars bitps://wwiea.ora/repors/world-energy-outlook 2020 Taxon ~ BaconKfobil. 2019. Outlook fr Energy: A Perspective to 2040. htps://comparate.exxonmabilcom/= ~Taternational Renewable Energy Agency ~ IRENA (2019),
Slide 43: Forecast Citations: US Forecasts
FORECAST CITATIONS: US FORECASTS New York Times ~ Blames 8. Pope, and Mio, B Hach 10, 202, ledre GsAve Coming How Long Unt They Rule the Road®. The Nev” York Times. itps://unnuavtines. comin fleet-turnover ht Projections follow flet turnover model in Alf}, A e al, 2020 Environ. Res. Lett. 15 0840e2.