OCI Global (Euronext: OCI), a world-leading producer of nitrogen, methanol, and hydrogen products, has entered into a long-term agreement with Waga Energy (EPA: WAGA), a global expert in the production of Renewable Natural Gas (RNG) from landfills through the patented WAGABOX® technology, to upgrade landfill gas to RNG at the City of Beaumont Landfill in Texas.
Since 2010, OCI Global has been part of the Beaumont community. The company is currently building Texas Blue Clean Ammonia – its new low carbon ammonia facility due to start production in early 2025 – nearby, and this project with Waga Energy and the City of Beaumont is the latest example of OCI’s commitment towards the City and Golden Triangle region.
OCI Global has a strategic focus on decarbonization and this initiative, which will support increased production of green methanol, is further evidence of action towards that goal. OCI Global will install a gas collection system on the City of Beaumont Landfill to recover the landfill gas spontaneously produced by organic waste. This gas will be upgraded into RNG through a WAGABOX® unit installed at the City of Beaumont Landfill, and then injected into the nearby gas infrastructure. The project will create more than 20 jobs during construction, adding to the more than 300 people already employed by OCI in the area, and will generate royalty revenues for the City of Beaumont once in operation.
As part of this agreement, OCI Global will own the RNG produced, while Waga Energy will build, own, operate and maintain the WAGABOX® unit through a gas upgrading service contract. The first of its kind in the United States, Waga Energy expects this business model to be replicated to address numerous landfills with the potential to produce RNG.
The facility is expected to be commissioned in 2025 and would avoid up to 27,440 tons of CO2eq emissions annually, equivalent to cutting emissions from 2.8 million gallons of gasoline per year based on the United States Environmental Protection Agency (EPA) calculation methodology. As well as reducing carbon dioxide equivalent emissions, obtaining biogas from landfill has the benefit of using methane – which over a 20-year period, has a global warming potential that is 84 times more potent than carbon dioxide – that would otherwise escape into the atmosphere. A key pillar for the energy transition, RNG is a local, renewable energy source that can substitute fossil natural gas.
A result of 15 years of development, the WAGABOX® technology revolutionizes landfill gas upgrading through cryogenics. It maximizes the renewable energy production of landfills by offering pipeline-quality RNG, regardless of the landfill gas variations in flow rate and composition, and regardless of the nitrogen concentration. This will be the first RNG facility for OCI Global in Texas, and the first WAGABOX® unit to be built by Waga Energy in the state. Waga Energy operates 23 WAGABOX® units worldwide with 14 more currently under construction.
Bashir Lebada, CEO OCI Methanol and HyFuels, said: “We’re excited about this partnership with Waga Energy and the City of Beaumont, which will not only secure sustainably sourced RNG for OCI HyFuels, but also assist the City in abating significant GHG emissions. We’re proud that our first RNG investment is in Beaumont, where we have a 15-year history of investment and employment, and we look forward to partnering with other local landfills to assist in their decarbonization goals and create meaningful value for these communities.”
Guénaël Prince, CEO of Waga Energy Inc. (USA), said: “We are thrilled to partner with OCI Global, a visionary leader in low carbon solutions, and a pioneer in the use of renewable natural gas for decarbonizing feedstock industries. This project at the City of Beaumont Landfill is innovative not only because of the cutting-edge technology and utilization of cryogenics, but also for the transformative business model we’re introducing to OCI Global as a provider of landfill gas upgrading services.”
About OCI Global
OCI is a global leader in nitrogen, methanol and hydrogen, driving forward the decarbonization of the energy-intensive industries that shape, feed and fuel the world. OCI’s production capacity spans four continents and comprises approximately 16.8 million metric tons per year of hydrogen-based products including nitrogen fertilizers, methanol, biofuels, diesel exhaust fluid, melamine, and other products. OCI has more than 4,000 employees, is headquartered in the Netherlands and listed on Euronext in Amsterdam. Learn more about OCI at www.oci-global.com. You can also follow OCI and LinkedIn.
About Waga Energy
Waga Energy (EPA: WAGA) produces competitively priced Renewable Natural Gas – RNG – (also known as “biomethane”) by upgrading landfill gas using a patented purification technology called WAGABOX®. The RNG produced is injected directly into the gas distribution networks that supply individuals and businesses, providing a substitute for fossil natural gas. Waga Energy finances, builds and operates its WAGABOX® units under long-term contracts with landfill operators for the supply of raw gas, and generates income by selling the RNG it produces or by offering a purification service. Waga Energy operates 24 RNG production units (owned or sold) in France, Spain, Canada and the USA, representing an installed capacity of 940 GWh per year (3,207,400 MMBtu). Each project initiated by Waga Energy contributes to the fight against global warming and helps the energy transition. Waga Energy is listed on Euronext Paris.
Press contacts:
| OCI
Gillian Daines +44 7752 785826
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Waga Energy
Alicia Fanni |
Waga Energy
Anne-Gaëlle Fonthieure |