By Jutta Schulze
Novvi LLC recently announced that it had obtained an equity investment on behalf of Chevron Products Company, which is a division of Chevron Corporation (NYSE:CVX)’s Chevron U.S.A., Inc.
Novvi, the market leader in renewable oils, is a joint venture between Amyris Inc (NASDAQ:AMRS), Cosan S.A. Industria e Comercio, and American RefiningGroup (ARG). The company produces targeted hydrocarbon molecules from plant sugar for automotive, industrial, marine, and construction applications.
With this deal, Chevron Corporation (NYSE:CVX) will obtain access to highly recognized technologies in high-performance base oils. This strategic move is aligned with their aggressive growth plan, particularly in the area of synthetic and renewable lubricants.
The investment also means more opportunities for Chevron’s long-term product developments, which have the potential to revolutionize the industry. Chevron and Novvi’s plan is to work together in order to introduce new base oils in key areas.
Novvi’s products and technology are recognized by the global lubricant market thanks to their ability to deliver sustainable, high-performance solutions in a range of applications. Since launching its first commercial production in 2014, Novvi has been steadily increasing base oil manufacturing in order to keep up with the robust and growing demand for a variety of applications.
Chevron Corporation (NYSE:CVX) on the other hand, is a leading manufacturer of premium base oils and one of the world’s largest suppliers of finished lubricants. Chevron has one the world’s largest base oil manufacturing platforms through its own refining network and its base oil licensing technology position.
Disclosures: The author, Jutta Schulze, holds no interest in any of the securities or entities mentioned above. He has not received compensation for this article, other than from Small Cap Nation. The statements above do not constitute recommendations. The article has been based on publicly available information, and seeks to be unbiased and non-promotional.