Clean Energy Contracts with National Grid to Assume Management of 13 Existing Retail CNG Fuel Stations in New York, Massachusetts and Rhode Island

SEAL BEACH, Calif.--(BUSINESS WIRE)-- Clean Energy Fuels Corp. (Nasdaq: CLNE) has contracted with National Grid (NYSE: NGG, LSE: NG), an international energy delivery company, to assume the management of 13 existing National-Grid owned compressed natural gas (CNG) retail vehicle fueling stations in New York, Massachusetts and Rhode Island.

Under the terms of the management agreement, Clean Energy will operate and maintain the National Grid stations, sell CNG to third parties, upgrade the onsite equipment to increase vehicle fueling capacity for the growth of the National Grid CNG truck fleet, and work together with National Grid to continue the growth of the CNG vehicle market.

Four of the stations are located in New York City and four are located on Long Island; three are in Massachusetts; and two are in Rhode Island. The agreement provides the ability to maintain or improve the high levels of service to third party vehicle fleets and provides National Grid with a consistent approach to station maintenance and operations throughout the National Grid territory.

"These facilities are important strategic fueling locations for CNG vehicles that are being deployed in large numbers by area refuse operators, local trucking firms, and New York taxi, black car and shuttle customers," said James Harger, Chief Marketing Officer, Clean Energy.

The retail CNG stations in Massachusetts and Rhode Island -- located in the greater Boston, Cape Cod, and Providence areas -- represent Clean Energy's entry into the retail CNG market in these states. National Grid supplies the natural gas used to produce CNG onsite at the stations. Fuel requirements exceed the equivalent of 750,000 gallons of gasoline a year.

"CNG is a cleaner, greener option for customers to fuel their vehicles. Operating a fleet of CNG vehicles provides economic benefits for a fleets' bottom line, while improving our country's energy security," said National Grid's Executive Vice President for US Gas Distribution, Nickolas Stavropoulos. "We agreed to contract with Clean Energy after an extensive process of review and analysis, and took into account their qualifications, experience and resources in this field. We look forward to working with them to help our existing customers increase their cleaner transport options, as well as potential new customers who want to reduce their carbon footprint."

"The formation and continued development of this CNG station network is a direct response to the growing demand for clean, green natural gas fuel that we have observed in the Northeast region, as fleet operators deploy increasing numbers of CNG vehicles," noted Harger.

"We expect to officially take over station management responsibilities from National Grid in the early spring this year with the implementation of a thorough transition plan for the customers," he added.

About Clean Energy

Clean Energy 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 17,500 vehicles at 195 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.

About National Grid

National Grid is an international energy delivery company. In the U.S., National Grid delivers electricity to approximately 3.3 million customers in Massachusetts, New Hampshire, New York and Rhode Island, and manages the electricity network on Long Island under an agreement with the Long Island Power Authority (LIPA). It is the largest distributor of natural gas in the northeastern U.S., serving approximately 3.4 million customers in Massachusetts, New Hampshire, New York and Rhode Island. National Grid also owns over 4,000 megawatts of contracted electricity generation that provides power to over one million LIPA customers. More information available at www.nationalgrid.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 volume of gasoline gallon equivalents of CNG fuel sold at the stations and the time frame in which Clean Energy will take over station management responsibilities from National Grid. Actual results and the timing of events could differ materially from those anticipated in these forward-looking statements as a result of administrative delays in transferring station management responsibility, availability and performance of CNG vehicle fleets in the vicinity of the station network and the availability of tax incentives or other regulatory incentives for the sale and use of natural gas vehicles or natural gas fuel. 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.

Released March 25, 2010