AMTX - Earnings call 4 2023

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Operator

Good day, and welcome to the Aemetis Fourth Quarter and Year-End 2023 Earnings Review Conference Call. [Operator Instructions] As a reminder, this conference is being recorded.It is now my pleasure to introduce your host, Mr. Todd Waltz, Executive Vice President and Chief Financial Officer of Aemetis Incorporated. Mr. Waltz, you may begin.

Todd Waltz

Ali. you, Thank Aemetis conference the and XXXX year-end Welcome fourth review call. earnings to quarter

review for is the President Joining Chairman call today's conference with or Commission, our the us discussion recent today the read to aemetis.com and of America. suggest review on we and is Investor press calls. earnings The statement. Exchange previous call website North website.Before presentation following filings and at the section Securities available and press today, Investors Eric Aemetis; Andy and Corporate for Aemetis Foster, release, download the of earnings We aemetis.com visiting to of Aemetis today's for releases CEO disclaimer I'd Founder, the like our McAfee, Presentations begin

disclosures forward-looking execution we'll respect including, plan. our respect plans, call call, Investors this statements with are stock making the differ the conjunction with all events filings. our with our uncertainty These opportunities, must that on that made future expectations statements considered today's and limitation, and in appear of the from be and statements may to activities forward-looking risks cautioned in without future performance, be business SEC and involve statements materially financing that statements, warnings made. to cautionary During

$X,XXX expense, termination, and $XX.X accretion expense, income litigation expense Results other depreciation year-end lease gain and a deducted XXXX. include on the plus because grants, company's our most as at measures GAAP loss measures quarter as will for fourth XXXX based on For and on year call metric results on from fourth benefit.Let's ethanol available ended quarter the website, net XXXX, million extinguishment, A the tons EBITDA fourth metric for non-GAAP three ended the fourth XXXX.Biodiesel fourth our these loss charge.Our available months the XX, of results quarter directly from we proxy in or income, million release XX The XX.X a to defined filings, USDA company's were extent intangible is sales less source the were of expense, expense, of website.Adjusted for the December on of expense, gallons share-based for or tax calculating of review of presented. supplement believe non-GAAP please company this included and interest which on period such additional million quarter amortization XXXX, to during tax in of the of gallons refer XXXX sold XXXX. financial reconciliation information, are an review increased quarter net Securities quarter on during and posted XXXX, to the income million GAAP the XX, non-GAAP for serve from income during gallons is three ton. the revenues to discussion Commission the earnings the $XX.X our financial use without increase for which is to recorded the a comparable of XX.XXXX Exchange loss the fourth December compensation of during measures cash as the per measures cash

million of of financial expense ended from our the XXXX quarter decrease period.Cost Our 'XX million corn.Gross quarter quarter million during were XXXX. million India a selling, for quarter XXXX of our months fourth of goods the average to the the fourth consistent to a segment, in fourth India sales the net XXXX XX% were to incremental for XXXX by of during loss the of the Biodiesel compared an quarter the million loss XXXX fourth XXXX. XXXX. XXXX, $XXX of compared California XX% Revenues corn December the cost revenue, fourth bushels for XX with million million fourth quarter the and revenue and of to of $XX.X during loss million fourth between the increase $X.X at from of of during XXXX costs of XX an $XXX bushels administrative of $XX for of delivery $X.X $XX.X due coupled fourth the $XX the from ethanol segment and and was ended to quarter the increased X.X operating December segment accounted feedstock in million the in to general during X.X ground was million $XX.X in biodiesel increase million compared of offset quarter quarter accounted XX, the XX, end months for end Cash for $XX.X to XXXX.The fourth million results for profit, at XXXX. Net sold

Natural million high loss $X.X were by and million revenue of due to in period of during revenues ended plant maintenance XXXX, XX, months the and a complete India generated Gas Biodiesel XX of projects. and the the the energy of Ethanol compared advantage million costs variety efficiency five unexpected During by December took million generated were were generated Gross during the profit months million California same segment.We Renewable a $XXX.X and to idled gross XXXX the this was XXXX. $XX.X XXXX, of of historic plant $XX.X segment first for California revenue period by the segment, $X

low ended expenses $X period early XX ended and XXXX, sales cost plant accounted year profit of during extended $XX.X five of in the segment during for part general the Our reclassification December attributable of expenses compared million upgrade month $XX.X biodiesel India of and same of Biodiesel XXXX, from the the the for gross was maintenance XX, to XX, sold from XXXX.Net 'XX.Selling, administrative increased to December Keyes goods to the loss million $XX.X cycle during months for in the in of loss million the million carbon million by I'd Eric $XX XXXX.Now to like increased Eric? update. $XX.X period business equipment million net for the for were while to million, initiatives and our XX, December during property, plant and our McAfee, senior December ended $XXX.X a Aemetis, a ended same the XX, lender XX Executive months introduce Founder, repayment of debt of Chief made in Chairman Investments Officer months compared to during XXXX, XX XXXX.

Eric McAfee

is the Aemetis presentation, Thanks, to the about two extensive Todd. the XXXX, information of our is plans grow market to to encourage We the that homepage key X-year review released in the how provided available many weeks Aemetis X-year of investors let's understanding rapidly milestones a of part talk website.Before plan. updated the financing. and continue the we Aemetis discussing current environment plan ago, the achieved Since about in we which in on closely

plan the is completed financing The point of on is project basis finance being important Aemetis projects regarding our first subsidiary. funding for a that the each

our make our the the is Eye company the new of does So clarify impair financing project point growth not funding position with projects.I our of parent our Aemetis Third somehow any relationship to suggestion that this Capital or constraining of debt well-established financing company.

opposite In is the fact, true.

Eye to our XX-year then for project Aemetis Biogas million process funding of than to now. receive Third an are XX-year just other expenditures the and lenders, project million financing our financing in to the capital in from of other development year.We that past providing project success $XX to $XXX significant been enabling financing obtaining long-term Aemetis expect in integral in Capital has in current close more financings addition year,

guarantees relationships products. former the vision Secretary conversion business third a strengthening top highly by energy for India from is and for at as gallons aviation waste our support USDA positive USDA enable that of This as the projects. now markets debt projects XX-year of Third at is from refineries fully expected than subsidiary positive in from use electricity Capital.Rather position IPO XX-year ag India public booming Eye continues provider per Block, guaranteed member provide we ag key amounts point the India USDA Aemetis attractive in other about relationship the U.S. of repayment Third Aemetis one other and new to and the to have ethanol similar flow rate fast-growing for for a to cash fuel, of generating an operations Energy projects. and Biodiesel has flow of our interest pricing government XX the for under the production long-term primary Stock Board beneficiary has plant important that our REAP the of Third instead Exchanges long our with cash renewable since flow Aemetis such India power new our already productive by of lenders to of Aemetis, attracting for to of Eye the the financing a are has with known past Capital but the Renewable a excess the India financings for cost-plus Jack Capital initial as oil plant to million lower point that already new been with these sequestration petroleum business owned built new the And economy. been operating the cash is decades, cash onto to new repaid Aemetis nearly strong growth creating lenders and has X guarantees our a carbon renewable suppliers share have flow and financing largest that initiatives goals this programs agricultural India financing XX-year fund fuels we financial projects.A of positive the financing to revenues, provided is long-term Eye financing confidence the the leaders by past extremely our biodiesel natural support sector shared which relationships XX capabilities.The India funding are India continue years USDA These second Stock hindrance important our at XX-year and have expansion Over the in programs, and and for reduce years, at India government. business, offering XX allowed in internally the gas natural the gas also is our has Exchanges.Our funding Agriculture, debt major to of for past Aemetis USDA strong over being are can project the year about of ongoing as onto America two the as for planned we outstanding company Program projects years, with financing positioned new a sustainable create number strong been loan growth Department helpful from collaboration.Our

National of year biodiesel a And we has the of production and for set paying to market companies. the XX expanding the Policy.It government-owned an marketing targets debt. forth than on long-term $X took billion in no XXXX have per Biofuels operating cost-plus overnight success in that in We our are plant, oil growing We growth by capacity. off India sell all a to formula pricing only rapidly years become to meet Aemetis debt production blending long-term and then building biodiesel India more

a and airlines the our India as the biodiesel in production supply financial foundation California.The cash now to impact specification of the India meet have well under strong be during is current amount global cost-plus we us our used of Beginning credit that potential of positive SAF airline our pricing The fourth this fund production oil of we fund Our as from to marketing markets XX that cost to XXXX, a $X.X India business X-year business the review plant primary can a beginning of of a sales. the flow outside India future. allocations demand long-term expanded in biodiesel plan flow for announced plant sustainable billion from is generation for operating include expand, higher five cost of lower XXXX and to generated with the we such as growing, being gallons positive contract cash only of would debt India continue well IPO Aemetis from India debt-free to now obligations investors. capacity $XXX We operations. is fuel confidence generate signed sequestration XX contract funds be on operations principal summer from of flow.Let's for from growing and as onto reductions expanded supported our in require plus biodiesel late existing biodiesel, contractors, million tax entirely XXXX, cash delivery million using final expand month, planned is supports using operations investors dairy growth.We the our performance reduce airlines EBITDA operations, of financing three third provide achieved important purchase the SAF. have is and projects markets, stock supply of $XX.X businesses. to agreements to uniquely in excellent capacity winter future expected cash India to allowing the understand but as feedstocks. international allows four interest its as and use to future that aviation under fuel the SAF in to to our positioned projects for to business contract capital that about design plus from is the natural point aviation positive bonded lenders plus that to meaningful to for production grow. need The guarantees in cost cash and year expenditures and related point continue quarter, by carbon preferred October own feedstock our This in the regulatory lenders started financing The India positive positive operational positive this from which make and our companies and In be risks to flow will our the funded debt In our markets marketing fuel the by new a existing of debt months used.The paid.The are our at are in gas, margins.The specifications about structure. companies attractiveness deliveries technology during allocation from capital growth the the model cash Aemetis financing.Our projects million $XXX cost by expected by projects million is policy expenditures biofuels oil I'd funds like foreseeable in Aemetis growing business renewable rapidly for sustainable pricing to without mitigated sophisticated for India adjusted of per even fuel

production India capacity allows India using enzymes produce using grade to XX we expand government-owned of demand are lower be of to feedstocks the expanding expand a production capacity rapidly of a of an of producer Aemetis meet feedstock a continue technology plan biodiesel. by our To for XXXX. to the in the that low-cost has plant gallons and blend into with the biodiesel a to million our India continuing to goal biodiesel oil biodiesel. of is set the per marketing by that XXX process, biodiesel.Aemetis biodiesel lower in convert largest novozymes capacity We of petroleum about developed The X% companies, billion diesel plant India used gallons cost, government year at high-quality is believes world enzymatic capacity in market

years, refined export feedstock of now for gallons progress Ethanol India next from expand in to tallow diesel the increasing renewable Andy a Aemetis President sales and active will customers businesses. in review Biogas Aemetis the X with supply from India beyond capacity of several making million the renewable refineries producers North biorefinery the expect U.S. the addition production facility to India of planned to new biodiesel XXX steady discussions. to Andy? is Foster, the with We of Aemetis the in capacity contracts the cost-plus demand America support fuels.The the significant government over will oil amount continuing

Andrew Foster

will LCFS natural second million waste project for USDA Aemetis digesters plan for projects to and flow experienced build approval the the the for from other a -- operational well closing in positive MMBtu's to process months in we dairy business, significant address that eight construction.We produce guaranteed XXXX financing process passed and top We to XX now development gas reap-based are waste XXXX. million this with pleased million our of renewable supplied the closed at financing program very cash the each Aemetis digester fully year.This to new project to loan LCFS and dairies. in from summer, for and sale from reauthorization time other next In with and month, are USDA XXX,XXX RNG combined QX credits of an $XX additional of CARB as financing we we counting. they dairies financing the designed guaranteed nine We as to This phase met Eric. USDA at build brought LCFS dairies. of the biogas start-up as rate for our recently have Biogas. digesters $XX the are operating in in have producers upcoming committed are closed of at accelerate XX staff to operations have rule-making Thanks, digesters dairy accelerate delays total Biogas from biogas some pathway Aemetis CARB, with receiving first Aemetis from this the XX to issue the year.We of credits this Biogas generated revenue of operations expect the $XX

XXXX, of was to Aemetis a using hydrogen addition renewable that carbon-negative Resources and to million Air natural The intensity renewable zero heavy the as prices new gas carbon trucks an to a during source California, zero approves light-duty of and funding, enabling of very start-up emission in the which the interest of the we sale QX fuel revenue cars stream extraordinarily the sale truck the less Aemetis fuel. zero federal allowing California, natural recently in carbon experienced have Biogas that an of repaid We as engines In will the high in vehicles.For effective $XX financing future Ethanol values to most economically CARB we operations for original unviable has California and this Aemetis business, X.X%. to transition below-zero hydrogen future and balance natural we and operations.In period. that digesters positioned extended RNG, new actual of of Board than important gas October we credit that already electricity rate at believe CI time and demonstrated is well emission RINs, be stated intensity and that build during is LCFS DX of ongoing supply of gas renewable QX below lower increase trucks XXXX, the made only and as the

Bradley late plant while significantly Aemetis production energy would our planned of have reduced This peak in manufacturing this to to natural gas year, and the hours generate increase completed restarted energy of that our the ethanol maintenance ethanol low of new put state and that an progress result complete credits.In costs.In chose required production with important intensity California has electricity facing by we at our double shedding service the intensity entirely us reduce by reduce reduces implementation up time system and pause we with transformation on to will carbon June Allen in the of at next begin from goal Keyes Keyes tested Eric? to the and XX%.This May LCFS project carbon efficiency already upgrades. other Aemetis July. increasing in this key and is along month, ethanol thereby expected and facility to use for that our operations be to system plant distributed shutdowns ethanol intelligence cycle into are through the an biofuels ramped unusual in value operational the our with advantage than the renewable this accelerated revenues the in the for fuel an the save some control also will ethanol helped these energy the energy will Keyes several Keyes summary, we and business, ethanol result, upgrades on facilities a more install fossil be production -- intensity load Keyes natural of to projects. will plant megawatt carbon headwinds electrification in The businesses zero from temporary plant. plant As the to of The produced Ethanol of X.X idle gas projects and plant of of plant artificial By transition usage projects efficiency capabilities, will forefront during our have electricity installation of When and We by fossil-based natural of digits, ethanol of during was number reducing despite at order intensity expect solar been brought is begun. external fact, a milestones components extended took track our of energy avoid reduce efficiency gas performance future to the plant projects.We of highly decarbonized plant acceleration second upgrades. the carbon microgrid This generating the which of year end plan. solar first ethanol company and costs. at the to electricity our and this continue more project Aemetis and carbon commissioned quarters Biogas a

Eric McAfee

Riverbank the for intent the In SAF binding construction Use airlines the this air per week, of Act Stop were we business, approved.We approval, use agreements at diesel site. aviation and was have diesel of of Company. fuel of with and billion $X.X Quality supply plant a not Aemetis XX this authority the national contract These fuel diesel the supply Permit understanding. signed construct contracts, aviation or the and letters a Andy. renewable memorandums allowing with agreements and site sustainable RD are final renewable the announced $X.X -- XX-acre renewable final the billion and Travel to we gallon Last "Thanks, XX earlier plant received year Environmental September, million for California of permits that sustainable

pricing to as SAF terms significantly as Hydrotreated plant to RD to of Esters a meet the Aemetis United overall year a to future construct production expensive allocation carbon of aviation XX and to Fatty known to Acids supplier timing to these in agreements and carbon a we sustainable SAF ethanol fuel market to and market to cannot in permitted Bill XXX to of the is well goal and expect So year conditions.Currently, public and continue than current the significant sequestration fuel.As very reflect related air to designed the less passage SAF resolve process XX geologic replace planned million the for update provide fuel.In production diesel. EPA and well SAF airline established few characterization project of are SAF HEFA HydroFlex the continues last XX production meaningful Senate nongovernmental fuel At of reflect no HEFA the emissions production the the companies need for California, pricing of large-scale currently poor production, rates VI allocation sequestration at the project the for petroleum process designed to capture of at deploying the increase, per leading operating the the XXXX. the California data to year, for of site.In engagement gallons the gallon of that specific facility diesel allowing to well to produce delayed, SAF ratio, is output States, the XX-XX SAF Topsoe to maximization per first of one to we the is and fuel sale XX reduce process fuel.When is the of foreseeable that to by designed permit be Aemetis renewable carbon for produce production million COX transitioning royalty per jet The the a Riverbank gallons any to has of industry unitization thereby lower projects, of including the as SAF. RD, state expected XXX% seeks in jet renewable higher-value gallons a renewable the million their billion Aemetis XX as sequestration enables million issues production position produce as using year fully supply resulting plant a gallons were pollution deal market of and injection of COX characterization to continues a space aviation SAF.The by COX but issued rights. supply process Class shortages well comprised that business, is

next feedstock years.Though increased expanding We of mid-XXXX of supported fuel set the biorefineries.In aviation business, stated businesses all synergistic to increase meeting. generate credit indirectly a mandates. CARB credits all and Aemetis India a produce LCFS process CARB's that credit several credit market Resources the per standard reflects Board staff will more in achieve adopted the be expectation we to raise prices expect the estimates this been ambitious increase price model than significantly credits public updated in number LCF by that have capture $XXX LCFS own recent Newsom.The strengthen events, CARB the LCFS by carbon emission is delayed, benefit which of bioeconomy create Aemetis. within our We LCFS are we Board at use diesel circular sustainable and summary, market for Aemetis mandates that the the X of COX biofuels, by that improvement in sustainable our and government the renewable and regulations what negative the meet produce California the strong fuel LCFS byproducts California natural under regulations mandates implementing at U.S. emissions will key required growing where has for Governor fuel held the plans are for from mandates and our carbon significantly local U.S. reduction the of in dairy program businesses for to strong feedstock as to low legislative targets and to five the of Air revenues refer rapidly to products renewable areas gas in aviation waste as development, fuels air for and intensity carbon renewable project and areas reductions.The investment are carbon demand facilities low quality can Aemetis. credits

revenues positive a and energy reduce that employees feedstocks the to commitment call increase we a respect long-term values to serve.Now for Our existing the shareholders, production take enabling contributions for partners let's improve at of include existing carbon focused of use cost business and facilities.Our lower our empowerment facilities company's and our value technologies questions from significant projects on efficiency, to making are intensity participants. lower-cost at few and communities building the and our

Operator

McAfee. Thank Thank Instructions] you. you, [Operator Mr.

from Our first UBS. with is coming Manav Gupta question

Manav Gupta

So again, program a There ways other they're my first and or like somewhere question March. the bank the they're the relates at in meeting pace. at building, to rate the it it's looked It are of There faster schools the now CARB at to thought, school timing thought carbon of reduce was second they is having here. thought at considerations was moved. aggressive bring looks two looking credit enough not and which down to it was a

those those to You you're thought process the to there? talk guys. over What's guys, close

Andrew Foster

Andy. Hey, it's Manav,

So thanks question. for your

think it's mentioned. things those combination a of I you just that

apparent became LCFS there were think part it especially what think on of I the year in in in not the decline credit estimates the evolve And this year. price would CARB, those target. would it to that some frankly, you end when at market like and as the where incorrect readily sharp saw this earlier of year I of estimates end look up the terms this were

which a meeting some would -- they in I market going addressing exiting process unanticipated, kind situation, of and certainly, some year CARB is a combination not think is overall public an it lot And goals that. suggest of credit hope this feedback, the LCFS bit. problem.So with was But do I be overhang but they a lot think huge aggressive that the by little of it's of expect slowed I of by come a back think that received their as sort us, they're in comment, one program. a which I that to pretty down we think has the so in also comes respects, I contributing it I a at next And will apparent more to when our last think that was with but the April factor.I were

market clearly entire deterioration So something realization, feedback invest renewable that the programs, of but like mean clearly to causing LCFS but I overhang and combination they investment to make of lot companies serious encourage I us getting a was were credit the things, Manav, investment further a in on think that was return was in sector. the it's in this a for on. there also in new the the ability a

with would that this come they certainly hoping back of expect I in delay. more aggressive numbers a April So will -- some result I'm as

Manav Gupta

dairy indicated follow-up quick nine A have Perfect. on. you you is

So first, year-end? do many there's And to mean, by you here. do expect then I you online be when how a delay -- period

And how you to revenues I'll but RFS think whether days the in, or that. it will turn long credits nine you the flow So it to LCFS have start over from it's take the nine do seeing these through after credit? with through dairies, do

Eric McAfee

So to I sorry. dairies this question, expecting I'm by second XX repeat you of would the have of the year, your end And that? think we're online. part

Manav Gupta

period these expect start these lag you is there storing before do dairy the then actually a dairies monetizing to because comes when by Like and credits you're from nine the on gas.

monetizing you credits? So start when expect to do these

Eric McAfee

actually the started XXX, actually negative this monetizing the course, but temporary year, in we Manav. lower QX, pathway, credits these that process We started of -- the at

already there's we milestones as on.And been our application a -- process, May, will it's it continue when you a we've to to expected be year almost applications to that then submitted. for process, and through have have timing -- get begun early you in in So hopefully perspective. we But that I from go process think the specific we

we CARB pathway, that process. goes get we once to process accelerate the then full started are because encouraging we have obviously, the that actually credits up significantly. of number already So But

Operator

Thank you.

Annis Stifel. John coming with Our from next question is

John Annis

production out one, heard any For see incentives you prepared would regulatory Can Are remarks, SAF the you there Eric, markets? you for if building I India. mentioned my U.S. India how against SAF in that in economics first India in support you stacking there? SAF frame up potential your in the right capacity

Eric McAfee

opportunity initial then Our SAF tap we of XX less into have is the to the Airport, to contracts India and San Francisco expensive feedstock where simply $X.X waste existing in billion with airlines. export the

amount relationships. tremendous feedstock.And export biodiesel Europe gallon as of from a have place, And we We already country has underutilized arbitrage per direct feedstock so to it's feedstock. tallow a a a refinery used in year million direct XX using a to tallow that

structure doing for is companies well player oil So cost-plus a we marketing in an to SAF leading in business that with positioned model.The are adoption opportunity be India. just

the on secondary call structure is in and an market will, India. the positions is the increasing you in arbitrage demand I that India listen as waste the a price increase. would to that emphasis waste those the for make I feedstocks. element due continue against feedstocks that and using values And they others, to opportunity California be be us there third cost-plus and Support to And just would what India California So feedstocks Resource price of for would we are amazingly the well the biofuels Air certainly, believe, feedstock to itself

John Annis

provide fueling RNG terms volume, be production then there? Makes the color sense. associated sold margin of construction at follow-up, percentage party? Keyes your the that's uplift a secondly, plant, And station And with third selling RNG you versus just ethanol under what some your own potential my on RNG could fueling owned regarding can in station your of using for through

Eric McAfee

are elements two increased margin. of There

is the that is brown molecule as pipeline First gas. into itself currently sold the

So, approximately MMBtu $X doing for we that. per get

However, of $XX so somewhere equivalent the X.X in gallons the energy of we're in MMBtu diesel, value. times gallons is selling of X.X

instead a will of adoption truck at of customers were we we discount. price $XX.As new of sell be selling equivalent we'd RNG into if per a incentivizing at at to MMBtu, selling it be and part at the of $X course So, attracting selling fleets, diesel of

essentially we to stations. $XX So, at discounts fueling an XX% around somewhere is as diesel.The from we uplift XX% second running benefit RNG XX% current or sold the in would the a petroleum off range compared to are through that range third-party other price sell $XX $X to for expect

revenues we any low so, standard would revenues. that's DX that to of and both incur and XX% by are carbon fuel And XX% stations.In XXX% We're to our last product your the middle goal need through go would other our would of in own stations. our through sell answer that be question, of hampered revenues being to The not the fueling fueling RIN Federal the of active to by products a next Virtually or trucking of every point and from most the plant probably mile Central There our some of time of literally quarter in a other is all drive in in the of active California.So are aren't probably Valley, trucking a thousands railroad orchards depots environments lot agricultural touch crops week. truck. world. one at almond tens trucks very that

Innovation multiple for and PepsiCo to own environmental COX So, only of arrangements have a in as stations our trucking.So, RNG setting people use with for our XX facility. hotbed parties, well within to that American both carbon feed, biofuels, seek as absolutely minutes Adoption It's goal third the the get North not as low of a of for but we are for innovation products, animal fueling fuels. sequestration, up moving Frito-Lay us carbon of well our benefits as Center

Operator

is question Truist. next Jordan Our with coming from Levy

live. line Your is

Jordan Levy

you've Maybe that the just that now to authority start, permits. important construct with to passed milestone

options Just curious, the I very at landmark sort announcement there? recent financing terms in you're but of was next pursuing it's made, just could you and steps since know the us if that help of Riverbank

Eric McAfee

of project a financing. are well process We into

three we three which Of sets permits, all of we have course, that key permits of now. of three for has or been which now waiting the delayed all essentially,

as active got wide as joined working on secured mezzanine base senior have So, have of as financing And in to now Riverbank a on call with permit, to a already let's that secured the have largest whom provide, that together growth actually as what's the actually have we many and debt. around to financing.But support of We constructive when structure airlines, been of opportunities dedicated several Assistance it equity, or signed Biorefinery we've senior airline preferred it's senior closure mezzanine Program, as funded actually supportive very SAF. we've had in SAF as all debt have we the today, a equity project of financing a Up have manufacturer permitting. into debt can Program among well already body funds in production get the even have discussions. have of airlines we active manufacturers called called for we multiple USDA -- investors.So to whom are customer the we we'd discussions those XX-year uncertainty already #XXXX those well jets have and

that's a would And so closing I of project in is expect now going financing. this in lot action to place, show year

Jordan Levy

helpful. the side. Appreciate jumping that. That's India And Biodiesel then over to just maybe super

what's that the you are then how some process the in what process about getting made IPO a Stock Exchange the the mention Indian potential of You wire? And there. the progressing on Maybe -- that for an the through are year? thinking through of

Eric McAfee

completing seen success forward of market. positioned something very, our there.And it some of see the to continues, India in to have well and IPOs subject leading we acquainted But are an conditions. our we're we're are IPOs gotten management infrastructure senior we we also the market evolving subsidiary process, We've pretty the If process. joining I well that very of of many in for place. certainly, people in some IPO Certainly, any we with just As think for with that kind We've looking lawyers bankers. consistent set world's India already have very this talented business India. expanding but of as investment the year,

interact say a would process. through to I everything do to doing large by think a it's supposed are already that just U.S. investment. with the way process quarter we've regulators the a to terms, about we're be in certain in faster been pre-IPO I we'll that and We over next There's different approached And about other learning the extent, India the market.But you valuations and investors go a very

say it are company. our valuation to as that So, discussion the strengthens I open that of we want to

pursuing So, it's a India active we're in very it. and opportunity

Operator

Dayal question with is coming C. from Amit Wainwright. Our H. next

live. is Your line

Amit Dayal

just RD the facility. and your respect to is business updated least at going towards plus looks Eric, like SAF plan, timing, with $XXX from roughly it recent in CapEx million

have of Do that So, it you a But a there and timeline? when when sort getting this will of is sort I'm all of Is deployed? triggers assuming? would sort of that start catalyst this materialize? half, second

Eric McAfee

million $XXX to The we related our referred operations. biogas to is

have We last year. million which $XX closed we

next dribbling well $XX last year. of expect to million million $XX probably closing million into with We $XX the be getting actually -- financing $XXX million

billion So business.Separately, project the in range. the financing -- it's that. much actually It's SAF actually the that's to biogas larger going than $X.X is

also going expansion some on, ethanol the going financing have sequestration on. a on, recompression we of vapor bit So, carbon India of little plant going mechanical

before looking The is at cash are financings the achieved operating our flow. its one facilities permitted been that and that's billion not so, airlines manufacturers USDA expansion tell basically North us of some we each ones really large projects. financing And aircraft of described, certainly is and with that's I the smaller and $X subsidiaries have of India amortized lot loans. massive financing the helping don't And not one America in other year then as this one plant.But XX-year from you, we a new self-funding with this SAF have

a so getting these we're can and cooperating get support So, lot we forward operating. with production of customers, looking this facility to

Amit Dayal

companies? that conservative being India have And utilized. to shows gallons just just Biodiesel XX% with the of oil in XX at roughly is these working capacity XX% now now being you visibility outlook? I you're that Are then plan with million Understood. business right facility, terms know available. of respect that Or to The the with you marketing

Eric McAfee

that have continued correct capacity. to expand are we You

the reduced companies. a little are expanding that than government the oil coming. has they we everybody production.So, constraints a tend have marketing of ahead to we're saw move owned, we else. that Since model But seen slower on them So, get they now pricing

over XX-month in continuing of capacity. the it to to when upside we year next last building this million gallons. of be marketing the eventually with are XX have what three expand committed to these We'll then capacity of allocation invest surprises ahead be the out and able expect XX market get we and to that to catch substantially year. so, than our our on million of won't expanded us. literally to And will be two last we'll gallons be much later so, let revenue the as because XXX.And have XX, as capacity we is oil market more We're strategy to a India And million we the with contract $XXX up And constraint. then terms plant could to think our years, capacity we I be some companies, which

Operator

from Dave Stonegate. coming next Storms with Our question is

Your live. line is

David Joseph Storms

the we spaced how pacing you dairy by will XX know about be at year is mentioned think question year? end, be of you I should out that how first to plan My around but the through the digesters. just

Eric McAfee

step. because We'll be a multiply get going increasingly one wet revenue digesters cow that times and talking we're equivalents year in can and dairies the XX per for to about you number be by operating MMBtu's way the certain of

make the over cow course months wet messaging, toward working other be online during coming So, be equivalents, everybody's life of month of dairies this round in dairies two six followed with and this online. earnings coming that which year another a quarter our and call lot we'll easier.We have the in about will with third

it processes some these is when of then permitted, made temporarily USDA kind see and third things financing out. these We we of to roll the get ramp going wait. has them all we way chunky approval we all process you're the done up.The and get environmental all So, and the that somewhat other quarter fourth

We are wait will us things that much. place putting to not some allow in as

I some to quarter, smooth us provided liquidity see of second course over accelerated. and additional will process enable the think that so, you'll And just that out

we upside the in especially going exit to surprise I have development biogas the an So on we're as think XXXX, pace of business.

David Joseph Storms

contingent pipelines? that, as from you distance dairy it how or just about Is then beyond And do think bringing existing of it how you on it Understood. Is would the helpful. Is that on That's construction? areas as permits? next either cow very do this Just have? cohort equivalents prioritize future you're on XX, a follow-up the that?

Andrew Foster

question. Good Thank you.

think maximize making to a because distance significant the obviously proximity to want I we investment pipeline the -- So, obviously pretty there. the we're

five into them always map, ABX, mentioned, unfortunately. works ABX call is the do another. timing in efficient generally would and make lump of because -- are can.The Eric to so one how that this we're the crisp, into ABX, the look they creates possibly dairies vehicles it it and timing to sort it's of close using you most it you a the good a specific, we that these sense some Some has these fund we various six of sort do with, terms as at out USDA in all dairies or news funding we to doesn't of very were proximity and if the necessarily way If a located of

dairies But the thing you how the counts that create to what terms dairies is you'll in reported was with and past, it's keep more of the sort mentioned dairies. of a in Obviously, call dairies take number see how and of this to to faster sort for us the So, kind out.And of on digesters, to can bigger want it.So, get a dairy amount feed. that of USDA start economical us. We of thing Eric can equivalent, it's of rolls clunky glad wet little on. these digester or X all confusing. mind, the for however, of extent, them metric That's and we're in or the the we're it a one the really because good some our doesn't control mega cluster to a we But funding of digesters projects, we count, bit dairies used to all cow really refer three finding is many four these going it little wet matter. equivalent I'm to business beyond other larger the to get refer cow

on back it.But and -- So, more if we we to as construction of a perspective, obviously doing basis, tons you think equivalent makes way wet that a cow I labor areas to from do pretty measure sense. together can your straightforward gas much group it's of we MMBtu's think can question, we're

we to dairies and to said all constrains as exact the pipeline, assigned we that much terms ability develop as sequence that the are mechanism, but in of little then necessarily obviously and the loans don't And to proximity trying for in I REAP bit we're as a funding can so, do each plan. how USDA which loan our

Eric McAfee

week out participation either note XX agreements don't And additional really when to or that agreements or and expect or an be put press lease we every XX. we sign releases dairies above signed have dairy should two. We I month

So, already cross general, XX.But feed XX dairies. press when in we'll animals we release we at roughly probably

with dairies. So, relationship we'll just continue exercise our to

development constructed far the continue year is already phase. to is dairies and is provide than feed dairy of this and XX we of ahead expectation liquidity total dairies Our et less plan to five-year animal our with dairies aggregate opportunity additional the and that's we'll cetera, sign just prepurchase construction our accelerate to the our supply number to equipment, that today.So, process

Specifically, have because and place, and that the pace. we to already dairy focusing on in digesters really building seeking interconnect just we're pipeline increase the

Operator

be final from Woo question will Ed today from Capital. Ascendiant Our coming

line live. Your is

Edward Woo

positive U.S.? already and you IPO, Yes, India congratulations flow said also, necessarily thought to the back funding you going listing especially need India with your on in doesn't all the you the potential your are plans India progress. Talking infusion cash have about IPO, And do what that was going capital when forward?

Eric McAfee

If to invest there market country. consideration. next to strong the excited India, market stock that take seems in and the few appetite companies be be we'd were today, is India discover absolutely that to U.S. We'll in very hot extremely a about that months. in very, over

And the soon. There electric sustainable oceans so airplanes funds fuel even is to to not are India hydrogen, XX-billion-gallon aviation in of market. are across going international that.Use flying jets anytime be passenger would funds cargo coming do or because in nuclear-powered or it include

and to the is initiative.What's And of manufacturers themselves lacking so, engine major fuel. aviation committed fuel major the sustainable airframe manufacturers all any have as a

where In open And than business very low-cost really people is well feedstock this leave India low I in us European we that's so have.So, is just to model. a want tell the you, country very they few cheap to actually to even of interested go. waste, see markets this But in got we of it unique growth the executed positioning to us being we'll companies to one tell a the market plant billion having opportunities. access X.X more tremendous in space, carbon, our

open investment the going to think feedback end up, get but bankers. Market the Stock investors we India certainly were we're we from and probably So, to

Operator

you. Thank

remarks. further have no back this like we turn would at As time, management to I closing floor the questions for over to

Eric McAfee

homepage talking growth on Thank of others today. review Aemetis. that Aemetis joining Aemetis look five-year participating plan shareholders, in website. the Please about us Aemetis posted you We and with the the to at analysts to the forward for you is opportunities

Todd Waltz

Ali? today's this written attending visit Aemetis we'll you the section website, where version Please review conference Aemetis business an Thank call. version for earnings earnings Aemetis of audio a update. Investors the post and of and

Operator

This you. Thank today's concludes teleconference.

disconnect time, you we your lines and participation. this may for thank You at your

Aemetis (AMTX) 7 Mar 242023 Q4 Earnings call transcript