Key Takeaways:
- Clean Energy Fuels Corp. and Maas Energy Works have announced a joint agreement to build nine renewable natural gas (RNG) production facilities at dairy farms across seven states.
- The facilities will be located in Colorado, South Dakota, Georgia, Florida, Iowa, Nebraska, and New Mexico, collectively managing manure from approximately 35,000 cows.
- The projects aim to prevent methane emissions and produce an estimated 4 million gallons of ultra-clean RNG annually by 2026.
- Maas Energy Works specializes in cost-effective lagoon cover digesters to capture methane emissions.
- The venture highlights the role of RNG in reducing greenhouse gas emissions in the agriculture and transportation sectors.
Joint Development Agreement
Clean Energy Fuels Corp. (Nasdaq: CLNE), a leading provider of clean transportation fuel, and Maas Energy Works, the largest dairy digester developer in the United States, have announced a joint development agreement to build nine renewable natural gas (RNG) production facilities. These facilities will be established at dairy farms in Colorado, South Dakota, Georgia, Florida, Iowa, Nebraska, and New Mexico. The project will manage manure from approximately 35,000 cows, aiming to prevent methane emissions from entering the atmosphere.
Project Details and Impact
The nine projects are currently undergoing final diligence and are expected to be completed by 2026. Once operational, they are projected to produce up to 4 million gallons of ultra-clean RNG annually. This RNG, characterized by its negative carbon intensity, will be integrated into Clean Energy’s nationwide network of RNG stations, providing a sustainable fuel option for the transportation sector.
Maas Energy Works brings extensive experience to the partnership, having completed over 60 dairy digester projects in the past decade. Their use of lagoon cover digesters, which capture methane emissions by covering manure lagoons with large tarps, makes these facilities more cost-effective to build and operate compared to traditional tank digesters. The total forecasted cost for the nine sites is approximately $130 million, financed by Clean Energy.
Strategic Collaboration and Goals
“This joint venture brings together expertise from a seasoned RNG developer and producer and Clean Energy’s extensive RNG distribution network and growing RNG customer base,” said Clay Corbus, senior vice president at Clean Energy. “We are excited to continue our long working relationship with the team at Maas Energy Works to get these facilities online and producing pipeline-quality RNG to help supply our transportation fleet customers with clean fuel to help them meet their sustainability goals.”
Daryl Maas, CEO of Maas Energy Works, emphasized the significance of the collaboration: “This joint venture is clear proof that family farms paired with private businesses are an unstoppable force in achieving decarbonization. If the markets for renewable fuels are clear and consistent, then America’s biogas industry will deliver. We will soon be capturing fugitive manure emissions and turning them into carbon-negative truck fuel with our partners at Clean Energy.”
Image provided by Clean Energy Fuels
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