Verde Clean Fuels announces suspension of development of Permian Basin gas-to-gasoline project
Verde Clean Fuels announced the suspension of development of its Permian Basin project primarily as a result of changing market conditions driven by increasing demand for natural gas in the Permian Basin.
In February 2024, the company and Cottonmouth Ventures, a wholly-owned subsidiary of Diamondback Energy, entered into a joint development agreement (JDA) to develop a natural gas-to-gasoline plant in the Permian Basin utilizing Verde’s STG+® technology and associated natural gas from Diamondback’s operations (the Permian Basin Project). Following announcement of the JDA, the Company began development work on the Permian Basin Project, which included a front-end engineering and design (“FEED”) study that was completed in December 2025.
“We are thankful to Diamondback for their support of the Permian Basin project. The learnings from the work that was completed, in particular from the FEED study, will continue to be useful as we explore other opportunities to deploy our technology. This allows us to devote our resources toward other opportunities we have been developing in regions where natural gas is stranded or flared without access to a higher value outlet to market. Cottonmouth remains our second largest shareholder and supportive of our continued efforts to deploy our technology,” said Ernest Miller, CEO of Verde.
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