Gevo has signed an agreement with Musket Corporation to supply isobutanol to be blended with gasoline in Musket fuel markets that are distributed under the Love’s Family of Companies brand. Initial target markets are expected to include the marine and off-road markets in Arizona, Nevada, and Utah. Musket is initially targeting retail pumps at Lake Havasu in Arizona, followed by other large marine markets such as Lake Powell, Lake Mead, as well as other large lakes in the western states. Later, Musket also anticipates expanding distribution into its core Oklahoma market.

The biofuel will be produced in Gevo’s Luverne, Minnesota biorefinery with plans to ship railcar quantities. Musket says as demand grows, it will increase quantities purchased.

Gasoline demand for the marine market in the U.S. is estimated to be approximately 1.7 billion gallons per year. Gevo says the National Marine Manufacturers Association has endorsed the use of its isobutanol in the marine fuel market because of the superior properties of isobutanol-blended gasolines, namely: prevent moisture absorption and phase separation; reduce engine corrosion; provide higher energy content; and contain a high octane rating.

“We believe Musket is an excellent partner to expand the use of isobutanol in gasoline blends, as our isobutanol production at Luverne builds. Musket and Love’s are significant players in fuel distribution and retail in the U.S., so they have great reach to get our isobutanol into the market,” said Dr. Patrick Gruber, Chief Executive Officer of Gevo.