LA Metro Awards Multi-Year Contract for Clean Energy’s Redeem™
Renewable Natural Gas to Fuel Nation’s Largest CNG Bus Fleet
NEWPORT BEACH, Calif.–(BUSINESS WIRE)–Clean
Energy Fuels Corp. (Nasdaq: CLNE) announced today that the Los
Angeles County Metropolitan Transportation Authority (Metro)
has awarded Clean Energy a renewable natural gas (RNG) contract to fuel
its fleet of transit buses. The deal calls for Clean Energy to provide
Metro its Redeem™
brand of RNG, the first renewable and commercially available vehicle
fuel made entirely from 100% organic waste.
The fueling contract begins with a one-year pilot where Clean Energy
will provide Redeem to one of Metro’s eleven compressed natural gas
stations, which are currently operated and maintained by Clean Energy.
Each station provides fuel for approximately 200 CNG buses. Execution of
an additional option will allow Clean Energy to provide Redeem to the
entire fleet of 2,200 natural gas buses for four more years, for an
anticipated 38 million gasoline gallon equivalents (GGEs) each year.
Over the five-year period, the transition to RNG will reduce Metro’s
greenhouse gas (GHG) emissions by over 520,000 metric tons over
the use of regular natural gas and by almost 900,000 metric tons over
the use of diesel. Unrelated to the use of Redeem, Metro will begin
retrofitting and replacing their buses with the new Cummins-Westport Low
NOx CNG engines that reduce smog-forming NOx and GHG emissions that are
90% lower than the EPA NOx limit.
“As one of the largest transit agencies in the nation, we take our
responsibility to the environment and the taxpayers very seriously,”
said Cris B. Liban, Metro Executive Officer for Environment and
Sustainability. “The use of RNG allows us to further exceed our
environmental goals and reduce our reliance on the use of extracted
fossil fuels, while ensuring the seamless transition to a cleaner,
greener fleet.”
Redeem is derived from biogenic methane or biogas, which is methane that
is naturally generated by the decomposition of organic waste. The
methane gas is then processed, purified and sent into the interstate
natural gas pipeline and transported to Clean Energy’s and its
customers’ stations.
“We are continuously assessing new technologies in transportation and
perform a rigorous analysis before adopting anything,” said John
Drayton, Metro Director of Vehicle Technology. “In this case,
transitioning to renewable natural gas along with the use of low NOx
engines reduces our fleet’s NOx emissions by 90%, so it was an easy
decision.”
“Metro is putting the needs of its customers and the people of Los
Angeles County at the forefront in its decision to switch to Redeem and
the latest clean engine technology,” said Tyler Henn, Vice President and
General Manager of Clean Energy Renewables. “They have chosen an
alternative that will make significant strides in cleaning up the air
and reducing harmful air toxins and greenhouse gases at an affordable
price.”
About Clean Energy
Clean Energy Fuels Corp. is the leading provider of natural gas fuel for
transportation in North America. We build and operate CNG and LNG
vehicle fueling stations, manufacture CNG and LNG equipment and
technologies, develop RNG production facilities, and deliver more CNG
and LNG vehicle fuel than any other company in the U.S. Clean Energy
also sells Redeem RNG fuel and believes it is the cleanest
transportation fuel commercially available, reducing greenhouse gas
emissions by up to 70%. For more information, visit www.CleanEnergyFuels.com.
About Metro
The Los Angeles County Metropolitan Transportation Authority (Metro) is
unique among the nation’s transportation agencies. Created in 1993,
Metro is a multimodal transportation agency that transports about 1.3
million passengers daily on a fleet of 2,200 clean air buses and six
rail lines. The agency also oversees bus, rail, highway and other
mobility-related building projects and leads transportation planning and
programming for Los Angeles County.
Forward-Looking Statements
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 without limitation statements about amounts of
RNG expected to be consumed by Metro. 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,
without limitation, execution of the contract option. 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.
Contacts
Clean Energy
Jason Johnston – Media
+1-949-437-1411
[email protected]
or
Tony
Kritzer – Investors
+1-949-437-1403
[email protected]