— Fleet Will Use More Than 1.5 Million Gallons of CNG Per Year —
SEAL BEACH, Calif.--(BUSINESS WIRE)--
Renewable Dairy Fuels, an affiliate of major Indiana milk producer Fair
Oaks Dairy, has contracted with Clean Energy Fuels Corp. (Nasdaq: CLNE)
to build and operate a new compressed natural gas (CNG) fueling station
(Fair Oaks Station) that will dispense CNG fuel to power the initial
fleet of 42 CNG milk-hauling trucks that the dairy plans to deploy later
this year. The Renewable Dairy Fuels CNG trucks will transport milk to
processing plants owned by Kroger Co. in Indianapolis, Indiana,
Murphysboro, Tennessee, and Winchester, Kentucky.
Set to open in the fall of 2011, the Fair Oaks Station will also have
public access and will be located near the dairy farm adjacent to
Interstate 65 in Fair Oaks, Indiana — about 70 miles south of Chicago.
The Fair Oaks Station will supply the Fair Oaks CNG milk-hauling truck
fleet, as well as other CNG vehicles operating in the area. A second CNG
station is planned for late 2011 in Southern Indiana adjacent to the
Kentucky border along Interstate 65.
Renewable Dairy Fuels also plans to produce biomethane from dairy cattle
waste and pipe the biogas directly to the Fair Oaks Station for onsite
conversion to CNG vehicle fuel. The biogas will be made available for
vehicle fuel use once the conditioning facility for the biogas is
completed, which is anticipated within 12 to 18 months.
The dairy's CNG truck fleet will transport 53 loads of milk per day,
which equates to 7.5 million gallons a month or 90 million gallons of
milk per year. The trucks will replace diesel-powered models, and are
projected to use more than 1.5 million diesel gallon equivalents of CNG
per year.
James Harger, Chief Marketing Officer, Clean Energy, said, "Fair Oaks
Dairy is a leading proponent of sustainable farming practices and their
use of natural gas and renewable biogas to power natural gas trucks is a
model that can be replicated by dairy operations throughout America. We
are delighted to have this opportunity to work with Fair Oaks as they
move to control fuel costs in a volatile energy environment, reduce
dependence on foreign oil and curb the global warming impact of their
fleet operations."
About Clean Energy Fuels— Clean Energy (Nasdaq: CLNE) is the
largest provider of natural gas fuel for transportation in North America
and a global leader in the expanding natural gas vehicle market. It has
operations in CNG and liquefied natural gas ("LNG") vehicle fueling,
construction and operation of CNG and LNG fueling stations, biomethane
production, vehicle conversion and compressor technology.
Clean Energy fuels over 22,700 vehicles at 238 strategic locations
across the United States and Canada with a broad customer base in the
refuse, transit, trucking, shuttle, taxi, airport and municipal fleet
markets. Clean Energy del Peru, a joint venture, fuels vehicles and
provides CNG to commercial customers in Peru. We own (70%) and operate a
landfill gas facility in Dallas, Texas, that produces renewable natural
gas, or biomethane, for delivery in the nation's gas pipeline network,
and we plan to build a second facility in Michigan. We own and operate
LNG production plants in Willis, Texas and Boron, Calif. with combined
capacity of 260,000 LNG gallons per day and that are designed to expand
to 340,000 LNG gallons per day as demand increases. NorthStar, a wholly
owned subsidiary, is the recognized leader in LNG/LCNG (liquefied to
compressed natural gas) fueling system technologies and station
construction and operations. BAF Technologies, Inc., a wholly owned
subsidiary, is a leading provider of natural gas vehicle systems and
conversions for taxis, vans, pick-up trucks and shuttle buses. IMW
Industries, Ltd., a wholly owned subsidiary based in Canada, is a
leading supplier of compressed natural gas equipment for vehicle fueling
and industrial applications with more than 1,200 installations in 24
countries. www.cleanenergyfuels.com
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
statements about Fair Oaks Dairy's annual fuel consumption, the rate of
CNG truck procurement and deployment by Fair Oaks Dairy, the timing of
the commencement and completion of construction of the Fair Oaks Station
and the biogas conditioning facility, the construction of a second CNG
fueling station in Southern Indiana and the future production and use of
biogas 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 the demand for Fair
Oaks Dairy's products, availability, price and performance of CNG trucks
relative to gasoline and diesel trucks, the price per gallon of CNG
relative to diesel and gasoline, permitting or other delays encountered
during the construction of the Fair Oaks Station or the biogas
conditioning facility and the ability to produce pipeline quality CNG
from the dairy cattle waste. The forward-looking statements made herein
speak only as of the date of this press release and the company
undertakes no obligation to publicly update such forward-looking
statements to reflect subsequent events or circumstances.
News Media
Clean Energy Fuels
Bruce Russell,
310-559-4955 x101
brussell@cleanenergyfuels.com
or
Investors
Ina
McGuinness, 805-427-1372
ina@mcguinnessir.com
Source: Clean Energy Fuels
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