Ara Partners acquires majority stake in USD Clean Fuels

Ara Partners, a private equity and infrastructure firm based in Houston, Texas, U.S.A., has announced its acquisition of a majority interest in USD Clean Fuels, LLC (USDCF). Ara Partners invests in sectors including industrial and manufacturing, chemicals and materials, energy efficiency, green fuels, and food and agriculture. USDCF specialises in developing terminal assets for renewable fuel feedstocks and biofuels.

This acquisition includes the West Colton Rail Terminal, a fully operational biofuels terminal in California, and is backed by additional capital from Ara to expand USDCF’s infrastructure footprint.

Based in Houston, USDCF is known for developing, owning, and operating strategic infrastructure that facilitates the safe, efficient, and economical delivery of renewable fuel feedstocks and biofuels to production facilities and end-market demand centres. The company, led by CEO Dan Borgen and President Bob Copher, boasts a strong track record in midstream infrastructure development and operations across North America.

Ara Partners’ vision

George Yong, partner and co-head of Infrastructure at Ara Partners, expressed high confidence in the renewable fuel sector’s potential for returns and impact. “USDCF’s platform is compelling, combining a top-tier management team with a portfolio of premier terminal logistics projects, laying the groundwork for a robust and scalable infrastructure business,” Yong said.

USDCF’s role in the renewable fuel market

Dan Borgen, CEO of USDCF, shared his enthusiasm for the partnership with Ara Partners. “This collaboration will bring essential infrastructure solutions to the growing North American renewable fuel market, starting with the West Colton Rail Terminal,” said Borgen. He emphasised the shared commitment to accelerating the transition to a low-carbon economy.