Clean Energy Fuels buys methane project developer
Clean Energy Fuels buys landfill gas project developer Dallas Clean Energy for $19.1 million
NEW YORK (Associated Press) - Clean Energy Fuels Corp., which provides natural gas used to fuel vehicles, on Monday said it acquired Dallas Clean Energy LLC. for approximately $19.1 million in cash from U.K.-based Camco International Ltd.
Clean Energy is partnered with Cambrian Energy, a landfill gas project development and management company which owns 30 percent of Dallas Clean Energy.
Dallas Clean Energy owns the McCommas Bluff landfill gas processing plant, which processes methane from the landfill owned by the city of Dallas. Atmos Energy Pipeline Co. distributes the gas collected there.
The landfill, which opened in 1975 and is scheduled to close in 2042, is expected to produce pipeline-quality methane gas for about 30 years after the landfill closes, Clean Energy said.
To finance the acquisition and expected future capital improvements at the landfill, Clean Energy entered into a $30 million credit facility with PlainsCapital Bank in Dallas.
Andrew Littlefair, Clean Energy president and chief executive, said the deal is a "major strategic action" for the company.
"Use of biogas as a vehicle fuel has enormous potential to both reduce carbon emissions and reduce our dependence on foreign oil by displacing the use of petroleum fuel," he said in a statement.
Shares of Clean Energy Fuels rose 16 cents to $13.69 in morning trading.
Clean Energy Fuels buys landfill gas project developer Dallas Clean Energy for $19.1 million
NEW YORK (Associated Press) - Clean Energy Fuels Corp., which provides natural gas used to fuel vehicles, on Monday said it acquired Dallas Clean Energy LLC. for approximately $19.1 million in cash from U.K.-based Camco International Ltd.
Clean Energy is partnered with Cambrian Energy, a landfill gas project development and management company which owns 30 percent of Dallas Clean Energy.
Dallas Clean Energy owns the McCommas Bluff landfill gas processing plant, which processes methane from the landfill owned by the city of Dallas. Atmos Energy Pipeline Co. distributes the gas collected there.
The landfill, which opened in 1975 and is scheduled to close in 2042, is expected to produce pipeline-quality methane gas for about 30 years after the landfill closes, Clean Energy said.
To finance the acquisition and expected future capital improvements at the landfill, Clean Energy entered into a $30 million credit facility with PlainsCapital Bank in Dallas.
Andrew Littlefair, Clean Energy president and chief executive, said the deal is a "major strategic action" for the company.
"Use of biogas as a vehicle fuel has enormous potential to both reduce carbon emissions and reduce our dependence on foreign oil by displacing the use of petroleum fuel," he said in a statement.
Shares of Clean Energy Fuels rose 16 cents to $13.69 in morning trading.
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