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    BP in the US to use biomethane as a vehicle fuel

Summary

The company partnered with US-based CleanBay Renewables in a 15-year agreement.

by: Daniel Graeber

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BP in the US to use biomethane as a vehicle fuel

US-based CleanBay Renewables said August 24 it had signed a 15-year agreement with BP to sell gas sourced from poultry industry waste for use as a transportation fuel.

CleanBay draws on a mixture of poultry manure, feathers and bedding to produce a form of gas, including methane, that is viewed as renewable natural gas (RNG). The company uses an anaerobic digester in the process to yield a product that can be used to fuel vehicles.

“Through this agreement, BP’s trading and shipping team will sell the fuel to its customers, initially in California,” the company said.

Alternative forms of fuel are in strong demand in California due to state mandates on low-carbon fuels.

“Not only will our process improve the air, soil and water quality around our agricultural facilities, but our RNG is a sustainable, environmentally-friendly way to help reduce greenhouse gas emissions,” Thomas Spangler, the executive chairman of CleanBay Renewables, said.

The agreement with BP marks the second such arrangement announced by a major oil company this week. Chevron and joint venture partner Brightmark, a biomethane producer, said they would make “additional equity investments” to support the construction of the infrastructure necessary to bring 10 dairy farm-sourced methane projects to commercial service across US. 

Under the terms of that agreement, Chevron will purchase the biomethane from the new facilities and market it for use in vehicles powered by compressed natural gas.

“RNG is a necessary energy transition approach in the near-term, but green hydrogen and the use of RNG to power electric vehicle charging stations will be the backbone of a fast transition to a net-zero future,” CleanBay CEO Donal Buckley said.

Green hydrogen is produced by using an electrolyser powered by renewable energy to split water into oxygen and hydrogen. Research suggests that manufactured methane may not be as environmentally friendly as initially perceived.