Clean Energy Moves Biomethane
Clean Energy Fuels Corp. has sold its majority interest in its McCommas Bluff biomethane production facility located in Dallas, Texas, to minority interest owner Cambrian Energy for approximately $40.6 million with approximately $3.0 million in additional compensation pending further performance tests of the McCommas facility to be completed in early 2015. Clean Energy will continue to have the right to market and sell biomethane produced at the facility under its Redeem renewable natural gas (RNG) vehicle fuel brand.
Cambrian Energy has been Clean Energy’s partner since Clean Energy bought into the McCommas project in August 2008.
“Buying the McCommas biomethane facility allowed Clean Energy to gain a valuable foothold in the renewable natural gas business. We are extremely proud of what we have accomplished at the project over the past six years, quintupling biomethane sales and providing for the long term financial stability that the project had historically lacked. We have successfully leveraged our success at McCommas into a greater knowledge of the entire supply chain and established a leadership position in the RNG fuel market. With McCommas remaining a RNG supplier, we will be able to focus our RNG business on Clean Energy Renewables’ core strength—marketing and selling alternative fuels,” said Harrison Clay, president of Clean Energy Renewables, a division of Clean Energy.
Clean Energy, an NGV Global Sponsor member, commenced production at its new biomethane facility in North Shelby, Tenn., this year and added an additional 12 third-party-owned biomethane production sources to its portfolio of RNG supply.
The U.S. Environmental Protection Agency underscored the potential of biomethane in the renewable fuel landscape when it recently reclassified biomethane as a cellulosic biofuel under the Federal Renewable Fuel Standard.
Redeem renewable natural gas is currently available throughout Clean Energy’s public natural gas fueling stations in California. Biomethane is the only fuel commercially available today at a discount to diesel prices that achieves a 90% reduction in greenhouse gas emissions and can meet 100% of the fueling requirements of an 18-wheeler.
https://www.ngvglobal.com/clean-energy-moves-biomethane-0105
