Company Well Positioned to Fill Expected Supply Gap Caused by Anti-dumping Ruling Against Argentina and Indonesian Biodiesel in the U.S. Market
CUPERTINO, CA / ACCESSWIRE / August 28, 2017 / Aemetis, Inc. (NASDAQ: AMTX) announced today that its Universal Biofuels subsidiary in India has completed the construction of initial process equipment and has obtained regulatory approval for the production of enzymatic biodiesel at its biodiesel plant in Kakinada, India using a patent-pending process technology developed by Aemetis. These approvals allow the use of low cost waste oil feedstocks for the production of biodiesel using Aemetis enzymatic production processes to supply customers, primarily in the US and Europe, through a supply contract with a major oil company.
Following the EU's issuance of anti-dumping duties against countries that subsidize biodiesel production, the US Department of Commerce recently announced a more than 50% anti-dumping duty against Argentina and Indonesia biodiesel imports. Aemetis' India subsidiary is expected to provide biodiesel to the US market to replace a portion of the more than 400 million gallons per year of Argentina and Indonesian biodiesel imported into the US annually.
A patent was filed on this proprietary pretreatment process technology in April 2017, and enables the enzymatic processing of waste oil feedstock to biodiesel by solving the primary issue of enzymatic biodiesel production: the requirement that feedstock reach and maintain an optimal temperature that allows for maximum enzymatic activity.
The Aemetis biorefinery in Kakinada, Andhra Pradesh has a capacity of 50 million gallons per year of biodiesel, along with the ability to produce and supply refined glycerin to pharmaceutical and industrial customers. The Aemetis plant is the first and only India biofuels producer approved under the Low Carbon Fuel Standard for delivery of tallow and waste oil biodiesel into California.
Headquartered in Cupertino, California, Aemetis is an advanced renewable fuels and biochemicals company focused on the acquisition, development and commercialization of innovative technologies that replace traditional petroleum-based products by the conversion of second-generation ethanol and biodiesel plants into advanced biorefineries. Founded in 2006, Aemetis owns and operates a 60 million gallon per year ethanol production facility in California's Central Valley, near Modesto. Aemetis also owns and operates a 50 million gallon per year renewable chemical and advanced fuel production facility on the East Coast of India producing high quality distilled biodiesel and refined glycerin for customers in India, the US and Europe. Aemetis operates a research and development laboratory, and holds a portfolio of patents and related technology licenses for the production of renewable fuels and biochemicals. For additional information about Aemetis, please visit www.aemetis.com.
Safe Harbor Statement
This news release contains forward-looking statements, including statements regarding our assumptions, projections, expectations, targets, intentions or beliefs about future events or other statements that are not historical facts. Forward-looking statements in this news release include, without limitation, the Company's plans at its biodiesel plant in Kakinada, India, the ability of the Company to patent its technologies and the Company's ability to initiate biodiesel imports into the US. Words or phrases such as "anticipates," "may," "will," "should," "believes," "estimates," "expects," "intends," "plans," "predicts," "projects," "showing signs," "targets," "will likely result," "will continue" or similar expressions are intended to identify forward-looking statements. These forward-looking statements are based on current assumptions and predictions and are subject to numerous risks and uncertainties. Actual results or events could differ materially from those set forth or implied by such forward-looking statements and related assumptions due to certain factors, including, without limitation, competition in the ethanol, biodiesel and other industries in which we operate, commodity market risks including those that may result from current weather conditions, financial market risks, customer adoption, counter-party risks, risks associated with changes to federal policy or regulation, and other risks detailed in our reports filed with the Securities and Exchange Commission, including our Annual Report on Form 10-K for the year ended December 31, 2016, our Quarterly Report on Form 10-Q for the quarter ended June 30, 2017 and in our subsequent filings with the SEC. We are not obligated, and do not intend, to update any of these forward-looking statements at any time unless an update is required by applicable securities laws.
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SOURCE: Aemetis, Inc.