In the United States (US), Aemetis, Inc., a diversified renewable natural gas (RNG) and biofuels company, has announced that its Aemetis Biogas subsidiary has completed construction and started operation of two additional dairy biogas digesters as part of the company’s biogas production network.
Aemetis now operates 14 dairy digesters that receive manure feedstock from 17 dairy facilities that are expected to produce about 600,000 MMBtu per year of renewable natural gas (RNG).
Biogas produced at the digesters is transported by 36 miles of Aemetis pipeline to a central biogas-to-RNG production facility in Keyes, California, which delivers RNG into the PG&E utility gas pipeline.
Aemetis has signed agreements with a total of 50 dairies in the area to install digesters.
Adding two new dairy biogas digesters represents continued progress on the expansion of dairy RNG production, reusing waste products from California’s large dairy industry and providing a valuable biofuel to replace expensive diesel. We appreciate the strong support of our dairies and construction firms as we continue to build out the network, further increasing revenue in the Aemetis Biogas segment, stated Eric McAfee, Chairman and CEO of Aemetis.
The new digesters use two of the fourteen biogas cleanup and compression systems that Aemetis has purchased and received from NPL Construction, a subsidiary of Centuri Holdings, Inc., an infrastructure services contractor.
The remaining units in Aemetis’ inventory will significantly reduce the project construction time required for the next 12 digester installations.
First RNG fueling station to begin construction
Aemetis also expects to complete the construction of its first RNG fueling station in Keyes, California, in the next few weeks, with deliveries to truck fleets scheduled to begin in November 2026.
The Aemetis Biogas Central Digester Project continues to expand, producing low-cost fuel that Aemetis plans to sell to truck fleets for less than US$2 per diesel gallon equivalent in California, where diesel prices exceed US$7 per gallon. With seven approved Low Carbon Fuel Standard pathways and six more biogas pathways nearing approval, collectively averaging a negative 328 carbon intensity, we expect to continue to grow biogas revenues while supporting the domestic production of renewable energy, job creation, and local economic development, Eric McAfee said.
Dairy RNG sold in California generates four revenue streams: sales of pipeline-quality RNG; federal Section 45Z tax credits; federal Renewable Fuel Standard (RFS) D3 Renewable Identification Numbers (RINs); and Low Carbon Fuel Standard (LCFS) credits.
Aemetis Biogas has generated US$22.8 million of Section 45Z tax credits as of the end of August 2026, resulting in US$62 of revenue per MMBtu of dairy RNG from the sale of the tax credits.
The number of federal D3 RINs generated each month increases as dairy RNG production rises. Every MMBtu of dairy RNG produces 11.7 D3 RINs, which are currently selling at US$2.05 per RIN.
These RINs are purchased by oil companies and other obligated parties to comply with the federal RFS that was passed into law in 2007.
California LCFS credit prices have increased from US$42 per credit in July 2025 to approximately US$90 in October 2026, with ongoing quarterly program deficits expected to continue to drive credit prices upward as the inventory of excess LCFS credits decreases.
