In the United States (US), renewable natural gas (RNG) and renewable fuels company Aemetis Inc. has announced an updated Five Year Plan that projects the company will generate US$1.95 billion in revenues and US$645 million of adjusted EBITDA in year 2028.
According to the Company’s 2024 Five Year Plan, revenues are expected to grow at a compound annual growth rate (CAGR) of 38 percent and adjusted Earnings Before Interest and Tax, Depreciation, and Amortization (EBITDA is expected to grow at a projected CAGR of 83 percent for the years 2024 to 2028.
The revenue and adjusted EBITDA growth is expected from several sources across Ametis and includes revenue from:
- 75 dairies producing renewable natural gas (RNG) by 2028;
- a 90 million gallon (≈ 340 million litres) per year sustainable aviation fuel (SAF) and renewable diesel plant in Riverbank, California;
- a carbon dioxide (CO2) capture and storage (CCS) well located near the Riverbank and Keyes biofuels plant sites in California;
- the completion of solar, Mechanical Vapor Recompression (MVR), and other energy efficiency, carbon emission reduction, and electrification projects at its Keyes biofuels plant;
- the continued expansion of biodiesel and tallow refining production at its plant in India.
The Plan also describes the tax credits expected to be received by Aemetis from the Inflation Reduction Act (IRA) for its renewable fuel and sequestration projects.
Through the expansion of our RNG, biodiesel, SAF/RD, CCUS, and ethanol businesses, Aemetis is poised to rapidly grow revenue to almost US$2 billion by the end of 2028. Additionally, Aemetis closed US$50 million of new USDA funding and received US$55 million from the sale of IRA tax credits in the past year. With strong financing support from the USDA for renewable fuels projects, the passage of the US$380 billion Inflation Reduction Act to provide funding to renewable energy projects, and EPA approval allowing 15 percent ethanol blends in 49 states which expands the ethanol market by almost 50 percent, the regulatory and financial climate for renewable energy projects continues to support our overall growth plan, said Eric McAfee, Chairman and CEO of Aemetis.
