Aemetis Inc. expects to safe the authority to assemble air allow for its proposed sustainable aviation gas (SAF) and renewable diesel challenge in early 2024, in line with feedback made by Chairman and CEO Eric McAfee throughout a 3rd quarter earnings name held Nov. 9. McAfee additionally mentioned the corporate’s biogas, ethanol, biodiesel and carbon seize initiatives in the course of the occasion.
The Aemetis Biogas subsidiary in the course of the summer season of 2023 closed its second $25 million USDA mortgage assure to construct biogas digesters at eight extra dairies, McAfee mentioned. That closing introduced the subsidiary’s whole to $50 million in mortgage ensures secured below the USDA’s Rural Power for America Program to construct 15 dairy digester initiatives which might be designed to provide a mixed 400,000 MMBtus of renewable pure fuel (RNG) yearly. A 3rd $25 million USDA assured mortgage is anticipated to shut by the top of this yr, topic to potential delays attributable to a authorities shutdown, McAfee added. Work on a fourth, fifth, sixth, seventh and eighth assured mortgage are in numerous steps of the method.
Aemetis Biogas now has seven totally working diary digesters, in line with McAfee, and is at the moment setting up extra digesters at 10 dairies. These amenities are anticipated to generate roughly 400,000 MMBtus per yr of RNG. A complete of 9 digesters are anticipated to be operational by the top of 2023.
McAfee additionally mentioned the corporate’s proposed Riverbank challenge, a proposed 90 MMgy biorefinery positioned in California that can produce SAF and renewable diesel. Aemetis beforehand obtained approval for the first allow of the development of the challenge. The Use Allow for the 125-acre challenge web site and California Environmental High quality Act approval have been secured in September. McAfee mentioned the authority to assemble air allow is anticipated to be accepted in early within the first quarter of 2024.
Through the name, McAfee confirmed that the corporate’s corn ethanol plant in Keyes, California, is at the moment working. The corporate accomplished an prolonged upkeep and improve cycle on the facility earlier this yr that prolonged all through a lot of the first and second quarters. The plant restarted in late Could and ramped manufacturing by way of June and July, he mentioned.
Upgrades made on the Keyes plant embody the accelerated set up of a brand new Allan Bradely Distributed Management System with synthetic intelligence capabilities, together with a number of different imported course of upgrades, McAfee mentioned. Over the subsequent few months, Aemetis plans to finish the set up of a $10 million photo voltaic microgrid with battery backup adjoining to the Keyes plant. The corporate has additionally accomplished course of engineering design for a mechanical vapor recompression unit and has begun tools fabrication for set up late subsequent yr.
Aemetis additionally has a biodiesel plant positioned in India. McAfee mentioned that facility expanded to 60 MMgy earlier this yr. The plant makes use of an enzymatic course of to provide high-quality biodiesel from lower-cost, lower-grade feedstocks. To satisfy quickly rising demand, McAfee mentioned Aemetis plans to increase the ability’s capability to 100 MMgy in 2025. The corporate additionally plans to export refined tallow from the India facility to renewable diesel producers within the U.S.
Along with biofuels, Aemetis can also be growing a carbon seize and sequestration (CCS) challenge. The corporate at the moment captures 150,000 metric tons per yr of CO2 emissions from its Keyes facility. That CO2 is at the moment equipped to native clients for reuse. Sooner or later, the corporate plans to sequester CO2 produced on the Keyes plant, Riverbank facility and biogas operations. Section one of many challenge would contain the injection of 400,000 metric tons per yr of CO2 into two sequestration wells the corporate plans to drill close to its biofuel manufacturing web site in California. In a deliberate section two growth, the wells would additionally sequester CO2 generated by third events, with the capability to inject a mixed 2 million metric tons of CO2 yearly.
Aemetis reported revenues of $68.7 million for the third quarter, down 4 % when in comparison with the identical interval of final yr. Gross revenue was $492,000, down from $1.1 million. Working loss for the interval was $8.5 million, in comparison with an working lack of $7.6 million reported for the third quarter of 2022. Internet revenue was $30.7 million, in comparison with a internet lack of $66.8 million.
