Frontier Infrastructure, in Collaboration with Gevo and Verity, Launches Complete Carbon Management Platform for Ethanol Industry
Rhea-AI Summary
Frontier Infrastructure has partnered with Gevo (NASDAQ:GEVO) and its Verity platform to launch North America's first fully integrated carbon management platform for ethanol producers. The collaboration combines rail transportation, permanent sequestration, and digital carbon tracking to accelerate decarbonization in the ethanol industry.
The platform leverages Frontier's Sweetwater Carbon Storage Hub in Wyoming, featuring the nation's deepest Class VI carbon storage well and nearly 100,000 acres of pore space. The initiative targets over 200 ethanol facilities across North America, which produce approximately 70 million tons of high-purity CO₂ annually. The Granger Carbon Terminal (GCT) will be operational by 2027, handling 500,000 metric tons of CO₂ annually, with expansion capability up to 2 million tons.
Positive
- Solution enables ethanol facilities to start capturing value from CO₂ streams within 24 months
- Platform targets over 200 ethanol facilities producing 70 million tons of CO₂ annually
- Initial anchor commitments already secured from leading ethanol producers
- GCT facility will handle 500,000 metric tons of CO₂ annually, expandable to 2 million tons
Negative
- GCT facility won't be operational until 2027
- Initial phase limited to 500,000 metric tons capacity
News Market Reaction
On the day this news was published, GEVO declined 1.98%, reflecting a mild negative market reaction. Argus tracked a peak move of +18.9% during that session. Our momentum scanner triggered 33 alerts that day, indicating elevated trading interest and price volatility. This price movement removed approximately $11M from the company's valuation, bringing the market cap to $547M at that time.
Data tracked by StockTitan Argus on the day of publication.
First-of-its-kind solution combines rail transportation, permanent sequestration, and digital carbon tracking to accelerate decarbonization
This partnership leverages Frontier's Sweetwater Carbon Storage Hub in Wyoming—with the nation's deepest Class VI carbon storage well and nearly 100,000 acres of pore space—alongside Gevo's proven bioenergy carbon capture and storage (BECCS) expertise and its Verity digital tracking platform. Together with Union Pacific Railroad's CO₂ transportation network, the platform offers ethanol producers immediate access to carbon management infrastructure without pipeline dependencies.
"Our collaboration with Gevo and Verity eliminates the primary barriers facing ethanol producers in carbon management," said Steven Lowenthal, Co-Chief Executive Officer of Frontier Infrastructure. "By combining rail flexibility with proven sequestration and transparent tracking, we're enabling facilities to start capturing value from their CO₂ streams within 24 months rather than waiting years for alternate approaches."
Market Opportunity
The partnership targets over 200 ethanol facilities across
Notice to Proceed: Granger Carbon Terminal (GCT)
In parallel with this announcement, Frontier has issued a formal Notice to Proceed on the Granger Carbon Terminal ("GCT")—a critical CO₂ transload facility connecting rail and truck deliveries to the Sweetwater Hub's injection infrastructure. Phase I of GCT, operational by 2027, will handle 500,000 metric tons of CO₂, annually, with expansion capability up to 2 million tons based on demand.
By leveraging Frontier's existing infrastructure and its partnership with Union Pacific Railroad, the GCT facility will serve as a the hub for Frontier's "Stack to Sequestration" CO2-by-rail solution. Initial anchor commitments have been secured from leading ethanol producers, including Midwestern Renewable Energy, an existing Verity client.
"This partnership fundamentally changes the economics and timeline for carbon management in the ethanol industry," said Jim Jandain, CEO of Midwest Renewable Energy. "Having rail transportation, permanent sequestration, and Verity's digital verification in one integrated solution means we can move from decision to implementation in under 24 months. For MRE, this is about securing our position in the low-carbon fuel market while that window is still open."
About Gevo & Verity
Gevo, Inc. (NASDAQ: GEVO) is a renewable chemicals and advanced biofuels company focused on transforming renewable energy into low-carbon transportation fuels and chemicals. The company operates one of
About Frontier Infrastructure Holdings
Frontier Infrastructure Holdings, LLC is a leading developer of low-carbon infrastructure solutions across the Mountain West and
About Tailwater Capital
Gevo Media Contacts
Heather L. Manuel for Gevo
VP, Stakeholder Engagement & Partnerships
PR@gevo.com
Frontier Media Relations
Jill McMillan
Managing Director, Communications & Public Affairs
Ph: 214-489-7047
jmcmillan@tailwatercapital.com
John Schaufele
Managing Director, Investor Relations & Fundraising
Phone: 214-489-7043
Email: jschaufele@tailwatercapital.com
For Inquiries Related to Frontier Infrastructure:
Email: info@frontierccus.com
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SOURCE Frontier Infrastructure Holdings