Gevo, Praj Sign Agreement to Commercialize Bio-Isobutanol for Diesel Blending in India
Gevo signed an agreement with Praj Industries to commercialize its bio-isobutanol (Bio-IBA) technology for diesel blending in India, the Englewood, Colo.-based biofuel producer said in a release Wednesday.
Under the development and commercialization agreement, India-based Praj will have exclusive rights to deploy Gevo’s Bio-IBA technology in the country.
The partnership will initially focus on producing bio-isobutanol for use as a diesel blending component to reduce the carbon intensity of the fuel.
Another driver for India is the ability to further expand crop production for both protein and fuels.
Gevo also expects other environmental benefits, such as more efficient combustion, which would reduce particulate emissions and overall pollution, among others.
Bio-isobutanol’s diesel-blending applications are being evaluated for transportation, agriculture, mining, construction and industrial uses, while technology validation at commercial scale, regulatory assessment and supply-chain development are underway.
India consumed about 94.7 million metric tons — or 29.7 billion gal — of high-speed diesel during fiscal 2025-2026, according to data from India’s Petroleum Planning & Analysis Cell cited in the company’s release.
Gevo CEO Paul Bloom told OPIS that India has fewer opportunities to expand biodiesel and renewable diesel production because of limited oilseed and waste-oil feedstocks.
The country, however, has more abundant carbohydrate feedstocks, including corn, rice and sugarcane molasses, that can be used to produce bio-isobutanol through fermentation.
Bloom said Gevo has reviewed studies evaluating bio-isobutanol as a diesel blendstock.
“The cetane value is low, but the compatibility with diesel and energy density is significantly higher than ethanol,” Bloom said. “And what we’ve seen in the studies so far is that up to 10% blends could be feasible without any engine performance issues and may produce cleaner-burning fuels with fewer particulate matter emissions.”
Bloom also pointed to bio-isobutanol’s fuel properties when discussing its potential use in existing diesel infrastructure.
“Because the flashpoint is higher, it’s compatible with existing infrastructure, storage tanks, and similar components,” he said.
The diesel-blending application is still awaiting final approvals in India, according to Bloom.
The agreement builds on more than a decade of work between Praj and Gevo to adapt and develop bio-isobutanol technology for India’s sugar- and starch-based feedstocks and domestic market.
India currently has a 20% ethanol blending target for gasoline, commonly known as E20.
Bloom said Gevo sees the country’s existing ethanol production base as potentially supporting bio-isobutanol production.
“An ideal scenario would put isobutanol technology side by side with existing ethanol,” Bloom said. “And now I’ve got a production facility that can make ethanol for gasoline blending, and produce isobutanol for gasoline or diesel blending, while both enable proven alcohol-to-jet pathways.”
Separately, Praj is developing what the companies characterize as “India’s first commercial Bio-IBA demonstration plant” for an undisclosed oil marketing company.
Praj is designing, engineering, supplying, and constructing the plant using Gevo’s licensed technology.
The companies did not disclose the demonstration plant’s location, production capacity, expected startup date, or investment cost.
The demonstration project is intended to validate bio-isobutanol production, supply chains, and market development ahead of potential broader commercialization in India, according to the release.
Gevo has produced and sold fuel-grade isobutanol commercially for more than a decade, with a production history, a full set of federal fuel registrations, and a real-world sales and demonstration record spanning on-road, marine, racing, and specialty chemical markets.
Beyond diesel applications, Gevo’s Bio-IBA can also be used as an intermediate for producing SAF and renewable chemicals, including isobutylene and isooctane.
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–Reporting by Bryan Sims, bsims@opisnet.com; Editing by Jordan Godwin, jgodwin@opisnet.com
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