South Jersey Industries (SJI) and OPAL Fuels have begun construction of their second renewable natural gas (RNG) plant at the Burlington County Resource Recovery Complex, located in Florence Township, New Jersey.
SJI and OPAL Fuels to construct natural gas plant
This project is estimated to produce 92,000 British thermal units(Btu) per year, equivalent to 6.5 million gallons of biomethane. This volume will reduce more than 530,000 metric tons of carbon dioxide annually, according to the companies’ official statement.
[post_relacionado]In addition, the biomethane generated at this facility will be used to fuel heavy trucks through OPAL’s network of service stations, which will help reduce fuel costs for the fleets that use it. This Burlington plant is the second collaboration between OPAL and SJI, who are already working together on the Atlantic RNG project, located in Egg Harbor Township, New Jersey. This latest project is scheduled to enter commercial operation in the third quarter of 2025 and is expected to generate 603,000 Btu per year.
As of September 1, 2023, SJI and Opal Fuels have established a 50/50 joint venture for the construction and operation of RNG plants. According to Jonathan Maurer, co-CEO of OPAL, the Burlington facility is a further step in the expansion of its portfolio of RNG projects, which are designed to add value to its landfill partners and mitigate climate change in both the emissions source and transportation sectors.
The future of RNG plants
OPAL currently operates or is in the process of constructing 16 RNG plants, with a combined design capacity of 10.8 million Btu per year. Among the new developments is the Sapphire RNG plant, which is in the commissioning phase and will begin operating in the third quarter of this year. In addition, Polk RNG is expected to come online in the fourth quarter, while Cottonwood RNG began construction in May.
Among other words, Maurer mentioned that the sum of the Burlington and Cottonwood plant capacities add 1.1 million MMBtu to RNG’s annual production capacity, bringing them closer to their target of 2.0 million MMBtu by 2024. In the second quarter of 2024, OPAL recorded production of 900,000 Btu of RNG, a 50% increase compared to the same period last year.
On the other hand, Adam Comora, co-CEO of OPAL, stressed that market conditions remain favorable for the capture and productive use of biogenic methane emissions, and that the company is well positioned to capitalize on these opportunities thanks to its vertically integrated team and business model. During the first half of 2024, OPAL invested $49.7 million in RNG projects, in addition to the $16.5 million earmarked for RNG projects.
At the end of the second quarter, OPAL reported US$104.7 million in current assets, including US$19 million in cash and cash equivalents, compared to US$81.1 million in current liabilities at the end of June.
Follow us on social networks and don’t miss any of our publications!
YouTube LinkedIn Facebook Instagram X
Source: SJI Industries
Photo: Shutterstock