Clean Energy Signs Agreement with AT&T to Provide Compressed Natural Gas (CNG) Fueling Stations to Support AT&T's Nationwide Deployment of 8,000 CNG Fleet Vehicles
SEAL BEACH, Calif., Mar 31, 2010 (BUSINESS WIRE) -- Clean Energy Fuels Corp. (Nasdaq: CLNE) has contracted with AT&T to supply compressed natural gas (CNG) fueling stations to support AT&T in its current commitment to deploy up to 8,000 CNG fleet vehicles nationwide. As part of a multi-year master agreement, Clean Energy will build, operate and supply CNG stations for AT&T's use.
AT&T announced plans in March 2009 to invest up to $565 million as part of a long-term strategy to deploy more than 15,000 alternative-fuel vehicles through 2018. AT&T expects to spend an estimated $350 million of that amount over five years to purchase about 8,000 CNG vehicles. This represents the largest corporate commitment to CNG vehicles to date.
Addressing the commitment, James Harger, Clean Energy's Chief Marketing Officer and Senior Vice President, said, "This action by AT&T is a giant step forward by American business to address the new energy needs of our nation, particularly for deploying natural gas vehicles to help reduce imports of foreign oil and clean our environment. Clean Energy stands ready to support this and other fleet commitments to natural gas fuel with advanced fueling infrastructure and services around the country."
Jerome Webber, AT&T Vice President, Fleet Operations, said, "Clean-burning, natural gas fuel not only makes good sense for the environment; it makes good business sense as well. CNG provides a strong economic advantage compared to gasoline and diesel powered-vehicles. And because CNG is domestically sourced, it helps reduce America's dependence on imported oil."
CNG vehicle fleet operators realize significant savings in their fuel expenditures, since natural gas is typically cheaper than gasoline or diesel fuel. In terms of clean-air performance, natural gas produces up to 30 percent lower greenhouse gas emissions than gasoline in light- and medium-duty vehicles. U.S. Department of Energy reports estimate that 98% of the natural gas consumed in the U.S. is sourced in North America, and domestic supplies are projected to last 120 years based on current consumption levels.
Clean Energy (Nasdaq: CLNE) is the leading provider of natural gas (CNG and LNG) for transportation in North America. It has a broad customer base in the refuse, transit, ports, shuttle, taxi, trucking, airport and municipal fleet markets, fueling more than 17,800 vehicles at 196 strategic locations across the United States and Canada. Clean Energy owns and operates two LNG production plants, one in Willis, TX and one in Boron, CA, with combined capacity of 260,000 LNG gallons per day and designed to expand to 340,000 LNG gallons per day as demand increases. It also owns and operates a landfill gas facility in Dallas, TX that produces renewable methane gas, or biomethane, for delivery in the nation's gas pipeline network. Clean Energy also owns BAF Technologies, Inc. of Dallas, TX, a leading provider of natural gas vehicle systems and conversions for taxis, limousines, vans, pick-up trucks and shuttle buses. Please visit 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 the number of CNG vehicles that will ultimately be deployed by AT&T and the number of fueling stations that may be constructed by Clean Energy for AT&T. Actual results and the timing of events could differ materially from those anticipated in these forward-looking statements as a result of the performance, availability and price of CNG vehicles relative to gasoline and diesel models and unanticipated delays in the construction and completion of the vehicle conversions or the stations. 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.
SOURCE: Clean Energy Fuels Corp.
Clean Energy Fuels Corp.
News Media
Bruce Russell, 310-559-4955 x101
brussell@cleanenergyfuels.com
or
Investors
Ina McGuinness, 310-954-1100
Copyright Business Wire 2010