Gevo Inc., the U.S. biofuel producer backed by French oil company Total SA, jumped the most in almost two months after announcing the first U.S. sales of its additive at a retail service station.
Gevo climbed 20 percent to $2.62 at the close in New York, the most since June 2. The Englewood, Colorado-based company has lost 45 percent this year.
Gevo converts corn and plant waste into ethanol and isobutanol, which is processed into jet fuel and other substances that replace petroleum-based fuel. An Express Lube service station in Texas is now offering gasoline blended with isobutanol at the pump, the first in the U.S., according to a statement Thursday.
The station is “anticipated to be the first of many retail locations” to offer the product, the company said.
Express Lube is selling the isobutanol fuel at a premium of more than 50 percent compared to the local blend of ethanol and gasoline, according to the statement. It’s suitable for lawn mowers, boats and other equipment that’s used infrequently because it “does not cause carburetors to gum up the way ethanol does,” Adam Sheffield, the service station’s owner, said in the statement.