Biofuel Maker’s Shares Rise on Favorable Patent Ruling

Butamax filed suit against Gevo for patent infringement in 2011, and in June of last year Gevo won its first battle when a court ruled it “likely” did not infringe and could continue to sell its product. Butamax appealed and yesterday’s ruling was the outcome of that appeal.

Isobutanol is a contender to replace corn-based ethanol as an additive to gasoline. The stuff has a higher energy content than ethanol — about 80% of an equivalent amount of gasoline compared with less than 70% for ethanol — and Gevo’s process can produce isobutanol more cheaply than its competitors.

Shares of Gevo are up 9.7% at about noon today, at $2.26 in a 52-week range of $1.36 to $10.39.