Clean Energy starts producing RNG at $85 million Texas dairy facility

Clean Energy Fuels Corp. (NASDAQ: CLNE) has completed construction of a renewable natural gas facility at South Fork Dairy in Dimmitt, Texas, and begun injecting pipeline-quality RNG into the interstate natural gas pipeline.

The $85 million project, entirely financed by Clean Energy, broke ground in July 2024. The facility processes up to 300,000 gallons of dairy manure daily from a herd of 17,500 dairy cows using four anaerobic digesters and advanced gas conversion equipment.

The South Fork facility can produce approximately 2.6 million gallons of RNG annually. Clean Energy will receive 100 percent of the RNG fuel produced at the location. The company operates over 600 fueling stations across its network.

Construction experienced a temporary pause due to a fire that impacted the dairy. Both the dairy and RNG facility have been fully restored and are now operating.

The Environmental Protection Agency has approved the RNG produced at South Fork Dairy to generate Renewable Identification Numbers under the Renewable Fuel Standard program. Clean Energy expects to generate California Low Carbon Fuel Standard credits in the first quarter of 2026.

"The completion of the project at South Fork is particularly special because not only is it a major step forward in building our low-carbon RNG supply to ensure we have the volumes needed to meet the growing fleet demand," said Clay Corbus, senior vice president at Clean Energy.

Frank Brand, owner of South Fork Dairy, said the partnership allows the dairy to process manure into bedding while producing fuel for vehicles and providing an additional income stream.

The information is based on a company press release.

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