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Verde Clean Fuels Inc. (VGAS-10.58%) has submitted its Form 10-K filing for the fiscal year ended December 31, 2024.
The filing details the company's focus on deploying its proprietary STG+® process technology to convert syngas into gasoline. Verde is currently developing its first commercial production plant, with an emphasis on converting natural gas into gasoline.
During the year, Verde Clean Fuels entered into a Joint Development Agreement with Cottonmouth Ventures, LLC, a subsidiary of Diamondback Energy, Inc., to develop a facility in the Permian Basin. The project aims to produce gasoline from natural gas and has commenced a front-end engineering and design study.
The company reported an operating loss of $11,656,842 for the year, primarily due to general and administrative expenses, research and development costs, and share-based compensation. No revenue was generated as the company is still in the development stage.
Verde Clean Fuels raised $50 million through a PIPE investment from Cottonmouth Ventures, which closed in January 2025. The proceeds are intended to support the development of the Permian Basin project and other corporate purposes.
The company holds 29.8% of the economic interest in OpCo, which is treated as a partnership for U.S. federal income tax purposes. As a result, Verde Clean Fuels is subject to U.S. federal income taxes on its distributive share of OpCo's net taxable income.
Verde Clean Fuels continues to develop its market strategy and expand its operations, with plans to construct additional production plants and explore strategic partnerships.
The company acknowledges risks related to its business, including regulatory changes, competition, and the need for significant capital investment. These factors could impact its ability to successfully develop and operate its commercial production plants.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Verde Clean Fuels Inc. annual 10-K report dated March 28, 2025. To report an error, please email earnings@qz.com.