NEWPORT BEACH, Calif.--(BUSINESS WIRE)--Clean Energy Fuels Corp. (Nasdaq: CLNE), North America’s largest provider of natural gas for transportation, announced today that it will be the first company to commercially distribute a renewable natural gas vehicle fuel, called Redeem, made from waste streams such as landfills, large dairies and sewage plants directly to fleets around the country and at the 35 public Clean Energy stations throughout California. Thousands of cars, taxis, shuttles and industrial fleets in California are now using Clean Energy’s Redeem, which is up to 90% cleaner than diesel and 100% renewable.
“It’s a landmark day for Clean Energy as the first company to make this revolutionary and renewable transportation fuel made from waste available to our customers,” said Andrew J. Littlefair, president and CEO of Clean Energy. “Our goal is to produce and distribute 15 million gallons of Redeem in our first year which can make significant progress towards achieving California’s climate change goals and show that this is a viable, cleaner and abundant alternative fuel source for our future.”
Clean Energy is staking a leadership position in the renewable fuels market through its significant investment in a natural gas fueling infrastructure, including 400 fueling stations throughout the nation, and in the development of multiple biomethane production facilities that are expected to produce Redeem.
“California’s leadership in addressing the threat of climate change and its commitment to reduce greenhouse gas emissions makes it the ideal state to launch Clean Energy’s Redeem fuel,” said Harrison Clay, president of Clean Energy subsidiary Clean Energy Renewable Fuels. “Redeem is the lowest carbon footprint fuel commercially available and the only affordable renewable fuel for heavy duty trucks. We believe this creates an environmental and economic incentive for companies inside and outside California who are looking to make a major reduction in the greenhouse gas emissions from their fleet operations while still saving on their fuel bill. Redeem makes that possible.”
According to California Air Resource Board estimates, Redeem sourced from landfill gas can enable up to a 90% reduction in carbon emissions when displacing diesel or gasoline in CNG. A fleet that consumes 1,000,000 gallons of gasoline per year can reduce their greenhouse gas emissions by approximately 9,700 metric tons by switching to Redeem, which is the equivalent of taking 1,940 passenger cars off the road per year.
“Clean Energy’s new Redeem product will help cut greenhouse gas emissions on our roads while providing customers a lower-priced fuel when compared to gasoline or diesel. I applaud Clean Energy’s vision to provide a fuel that is both good for the consumer and the air we breathe,” said California Air Resources Board Chairman Mary D. Nichols.
Redeem by Clean Energy is a renewable natural gas vehicle fuel, often referred to as biomethane. It is derived from biogenic methane or biogas, which is methane that is naturally generated by the decomposition of organic waste. Clean Energy captures and extracts methane gas from its landfills and other waste streams. The methane gas is then processed, purified and sent into the interstate natural gas pipeline and made available exclusively to Clean Energy customers. Today, Clean Energy is producing Redeem at biomethane production facilities in Dallas, Texas; Canton, Mich.; and is constructing a third facility in Millington, Tenn., with plans to develop other production facilities across the country. Clean Energy also sources biomethane from third parties to market and distribute as Redeem vehicle fuel. For graphics and additional information, visit http://www.redeembycleanenergy.com.
About Clean Energy
Clean Energy Fuels Corp. (Nasdaq: CLNE) is the largest provider of natural gas fuel for transportation in North America. We build and operate compressed natural gas (CNG) and liquefied natural gas (LNG) fueling stations; manufacture CNG and LNG equipment and technologies for ourselves and other companies; convert taxis, vans, pick-up trucks and shuttle buses to natural gas; and develop renewable natural gas (RNG) production facilities. For more information, visit www.cleanenergyfuels.com.
This news release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 that involve risks, uncertainties and assumptions, including statements about Clean Energy’s plans to produce and distribute Redeem and develop biomethane production facilities, Clean Energy’s ability to profitably sell Redeem well below the price of diesel or gasoline, the benefits of Redeem and expectations about the future adoption of Redeem as a vehicle fuel. Actual results and the timing of events could differ materially from those anticipated in these forward-looking statements as a result of several factors, including, but not limited to, permitting and other delays in developing biomethane production facilities, difficulties producing biomethane at Clean Energy’s production facilities, challenges acquiring biomethane from third parties, problems delivering biomethane to customers and Clean Energy’s ability to sell at favorable prices credits it may generate under federal or state laws, rules or regulations in connection with selling biomethane as a vehicle fuel. The forward-looking statements made herein speak only as of the date of this press release and, unless otherwise required by law, the Company undertakes no obligation to publicly update such forward-looking statements to reflect subsequent events or circumstances. Additionally, the reports and other documents the Company files with the SEC (available at www.sec.gov) contain risk factors, which may cause actual results to differ materially from the forward-looking statements contained in this news release.