Olivia Woods
ExxonMobil has agreed to invest $125 million in Global Clean Energy Holdings, Inc., with the right to purchase up to a 25% equity stake in the company.
According to documents filed with the U.S. Securities and Exchange Commission, the investment will help Global Clean Energy expand its patented camelina business in major farming regions of the United States and speed up growth in Europe and South America.
“This strategic investment by ExxonMobil is transformational for GCE and will enable the rapid expansion of our proprietary camelina business. It also demonstrates the long-term commitment of both organizations to develop ultra-low-carbon, nonfood-based feedstocks and advanced biofuels,” said the CEO of Global Clean Energy Holdings, Richard Palmer.
“Throughout our four years working together, ExxonMobil has actively supported our feedstock deployment efforts in multiple U.S. growth regions.”
GCE’s Sustainable Oils subsidiary is the world’s largest producer of camelina, a nonfood oilseed crop cultivated in fallow cycles with no impact on primary crops.
According to statistics from the California Air Resources Board, renewable diesel from non-petroleum feedstocks can decrease life-cycle greenhouse gas emissions by 40% to 80% compared to petroleum-based diesel utilized in today’s motors.
“We are investing in a number of technologies and initiatives that can reduce greenhouse gas emissions from vital sectors of the global economy, and are progressing lower-emission fuels to help industries like heavy transportation, marine and aviation,” stated Ian Carr, president of ExxonMobil Fuels and Lubricants Company.
“Our agreement with GCE is an example of how we are leveraging our significant resources, technology and capabilities to deliver more renewable fuels to help customers reduce their emissions.”
There is a commercial agreement in place between GCE and ExxonMobil for the supply of drop-in renewable diesel from GCE’s California bio-refinery, which is scheduled to start production later this year.
Original source material for this article taken from here
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