SUGAR LAND, Texas, March 28, 2013
SUGAR LAND, Texas, March 28, 2013 /PRNewswire/ -- Arabian American Development Co. (NYSE: ARSD) announced today that it has signed a contract with Gevo, Inc. (Nasdaq: GEVO) to extend toll processing services of the hydrocarbon processing demonstration plant at its South Hampton Resources (SHR) facility in Silsbee, Texas and construct a second demonstration unit to provide Gevo with toll-processing services necessary to process up to 16,000 pounds per month of mixed octane materials produced on the existing isobutanol to jet demonstration unit.
The new demonstration unit will produce paraxylene for polyethylene terephthalate (PET). This will allow Gevo to supply early adopters with product so they can test material, make samples and start their selling cycle. The contract is for a year and a half with one-year extensions available thereafter. The demonstration plant is slated for completion in Q3 2013. SHR will complete the final design and engineering package for the unit from preliminary plans supplied by Gevo and will incur incidental costs related to site preparation and tie-ins.
Nick Carter, President and CEO commented, "We are happy to expand our relationship with a partner developing cutting edge technology like Gevo. This is a further testament to our ability to provide custom solutions for our clients in a timely manner, whatever their needs may be. As we have previously mentioned, we will continue to focus on adding and growing tolling relationships like this throughout the coming year."
"We have been impressed with the quality of service that South Hampton provides. I believe this agreement stands as a testament to our confidence in the team at SHR," stated Christopher Ryan, President, Chief Operating Officer, and Chief Technology Officer.
About Arabian American Development Company (ARSD)
ARSD owns and operates a petrochemical facility located in southeast Texas, just north of Beaumont which specializes in high purity petrochemical solvents and other solvent type manufacturing. The Company is also the original developer and a 35% owner of Al Masane Al Kobra Mining Co., a Saudi Arabian joint stock company.
Statements in this release that are not historical facts are forward looking statements as defined in the Private Securities Litigation Reform Act of 1995. Forward looking statements are based upon management's belief as well as assumptions made by and information currently available to management. Because such statements are based upon expectations as to future economic performance and are not statements of fact, actual results may differ from those projected. These risks, as well as others, are discussed in greater detail in Arabian American's filings with the Securities and Exchange Commission, including Arabian American's Annual Report on Form 10-K for the year ended December 31, 2012, and the Company's subsequent Quarterly Reports on Form 10-Q.
Nick Carter, President and Chief Executive Officer
Investor Relations Contact:
Kim Rogers-Carrete, Principal
Matthew Selinger, Principal
SOURCE Arabian American Development Co.