GEVO Stock Price Increases Over 15% Pre-Market: Why It Happened

By Amit Chowdhry ● Jan 19, 2021
  • The stock price of Gevo Inc (NASDAQ: GEVO) is trading at over 15% during pre-market today. This is why it happened.

The stock price of renewable fuels company Gevo Inc (NASDAQ: GEVO) is trading at over 15% during pre-market today. Some of the triggers that have to do with the pre-market increase likely has something to do with an announcement by the U.S. Department of Energy’s Office of Fossil Energy announcing plans to make $160 million in federal funding available for recalibrating the nation’s vast fossil-fuel and power infrastructure for decarbonized energy and commodity production. Gevo Co-founder Frances Arnold was also named to president-elect Joe Biden’s Science Team.

DOE Announces $160 Million For Projects To Improve Fossil-Based Hydrogen Production, Transport, Storage, and Utilization

On Friday, the U.S. Department of Energy’s (DOE) Office of Fossil Energy (FE) announced plans to make $160 million in federal funding available to help recalibrate the nation’s vast fossil-fuel and power infrastructure for decarbonized energy and commodity production. And the funding — for cost-shared cooperative agreements — is aimed to develop technologies for the production, transport, storage, and utilization of fossil-based hydrogen, with progress towards net-zero carbon emissions.

Currently, fossil fuels provide the lowest cost pathway for producing hydrogen, according to cost data in a recent DOE/FE Hydrogen Strategy Document. And the U.S. will authorize advanced and novel technologies capable of improving the performance, reliability, and flexibility of methods to produce, transport, store, and use hydrogen. This is going to enable the U.S. to continue to extract the maximum economic value from fossil fuel energy resources. When coupled with carbon capture and storage capabilities, the low-cost hydrogen sourced from fossil energy feedstocks and processes will significantly reduce the carbon footprint of these processes and enable progress toward hydrogen production with net-zero carbon emissions.

Frances Arnold Joins Joe Biden’s Science Team

Over the weekend, Frances H. Arnold, Ph.D. — who is the Linus Pauling Professor of Chemical Engineering, Bioengineering and Biochemistry and Director of the Rosen Bioengineering Center at the California Institute of Technology — was named as Co-Chair of the President’s Council of Advisors on Science and Technology. Arnold is known as the first American woman to receive a Nobel Prize in Chemistry.

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