POET, the largest biofuels producer in the world, announced this Tuesday it acquired the entirety of Flint Hills Resources’ bioethanol assets. With the acquisition POET will boost its production capacity by 40 per cent.
Firstly, the acquisition includes six bioprocessing facilities located in Iowa, Nebraska; and also, two in Texas and Georgia; the company said in a statement. After the acquisition, the company will operate 33 bioprocessing facilities across eight states of the nation.
Secondly, total production capacity of the company will now reach 3 billion gallons a year. With which the company will immediately contribute to decarbonizing the transportation sector and lowering greenhouse gas (GHG) emissions.
Thirdly, the acquisition is particularly important, as the United States is the world’s largest producer of ethanol. According to the Energy Information Administration, before the covid-19 pandemic the country produced 5.8 billion gallons of ethanol in 2019.
Moreover, by mixing ethanol into traditional fuels, industry get to burn cleaner pure gasoline, consequently reducing emissions. Since 2005 the U.S. developed its Renewable Fuel Standard, precisely to boost ethanol production.
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POET with a greater position to tackle climate change
In addition, POET’s CEO, said about the acquisition. “This transaction will increase POET’s ability to bring even more high-quality, plant-based biofuels; and also, bioproducts to the world; consequently, allowing us to have an even bigger impact on fighting climate change and cleaning our air.”
He also remarked. “We’ve been a leader in the biofuels business for 33 years and have never wavered in our belief in the power of agriculture and biofuels; particularly, to offer the most accessible, near-term solution to climate change. With this move, we’re demonstrating our commitment to the future of low-carbon, plant-based liquid fuels.”
On the other hand, Jeff Lautt, COO of the company, said the acquisition of the assets is part of a strategic compliment for POET’s current geographic footprint.
Finally, POET Chief Commercial Officer Bob Casper, remarked. “We are on the cusp of a new sustainable economy; one that will be powered by renewable energy. Bioethanol is critical to this new economy and will continue to be so for years to come.”