DUBUQUE, IOWA — Constellation, a leading competitive energy and energy solutions provider, announced today a 10-year agreement in which it will provide renewable natural gas (RNG) to American Natural Gas, LLC to supply its compressed natural gas (CNG) stations nationwide.
The deal is made possible through a separate long-term offtake agreement between Constellation and project developer, The Landfill Group, in partnership with LS Power. Through this transaction, Constellation will procure RNG from The Landfill Group’s Dubuque Metropolitan Area Solid Waste Agency landfill RNG production facility in Iowa.
In turn, Constellation will provide American Natural Gas with up to approximately 750 MMBTUs per day of RNG for its CNG commercial fleet customers. RNG used as vehicle fuel allows for the generation of renewable identification number (RIN) credits, which are used for compliance with the federal Renewable Fuel Standard program, designed to reduce greenhouse gas emissions and expand the nation’s renewable fuels sector while reducing reliance on petrol-based transportation fuel sources. Production and delivery began in September 2021.
“Our agreement with Constellation provides a reliable source of renewable supply for our compressed natural gas stations across the U.S.,” said Andrew West, Founder and CEO, American Natural Gas. “We’re excited that this collaboration will strengthen our ability to offer clean alternative fuel sources for our fleet vehicle customers who share our commitment to reducing carbon emissions and combatting climate change.”
“Constellation is pleased to support the development of a new-build renewable energy asset while helping American Natural Gas source clean, reliable energy for its CNG stations throughout the country,” said Dino Caro, SVP, C&I Gas Sales, Constellation. “And, by implementing this clean energy solution, American Natural Gas will be able to help its customers meet their sustainability goals and reduce their respective carbon footprints.”
“As a developer in the RNG industry, it is always exciting to bring new projects through the development cycle to commercial operation,” said Christopher Morley, CFO, The Landfill Group. “Finding the right partner to buy the RNG is always a key consideration during that process, and we are very happy to establish a long-term relationship with Constellation and American Natural Gas through this project.”
Constellation and its affiliates are currently contracted for the supply of RIN and Low Carbon Fuel Standard (LCFS) qualified RNG from over 30 RNG production facilities with distribution to over 100 CNG station customers located throughout the U.S. Learn more at Constellation.com/RNG.