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Montauk Renewables and EE North America reveal eFuel partnership

Montauk Renewables and EE North America reveal eFuel partnership
The Montauk Renewables landfill gas (LFG) to renewable natural gas (RNG) plant at the Atascocita Landfill, which is owned and operated by Waste Management in Humble, Texas (photo courtesy Montauk Renewables).

In the United States (US), renewable natural gas (RNG) producer Montauk Renewables, Inc. and its subsidiary, Montauk Energy Holdings, LLC, have announced the signing of a Letter of Intent (LoI) with EE North America, LLC (EE North America), a North American subsidiary of Denmark–headed renewable power provider and Power-to-X developer European Energy A/S, to deliver all biogenic carbon dioxide volumes from all its Texas facilities sufficient for large scale production of electro-fuels (eFuels) such as e-methanol.

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EE North America intends to construct a Power-to-X (PtX) facility in Texas (TX) that would take the biogenic carbon dioxide (CO2) from Montauk’s locations and use it in the production of e-methanol.

The e-methanol would then be used to fuel vessels for maritime shipping operations.

The LoI immediately commits Montauk’s CO2 from its Texas facilities to EE North America’s Texas project and assists Montauk in synchronizing capital commitment timing at its Texas facilities with EE North America’s project.

The expected agreement between Montauk and EE North America will have a positive impact on the global reduction of CO2, a greenhouse gas that contributes to climate change, while continuing to expand and diversify our revenue sources, in this case with fixed-price commodity sales. Our relationship with European Energy is another example of Montauk’s commitment to environmental stewardship, its multi-faceted development strategy, its ability to align itself with industry leaders, and its commitment to enhancing shareholder value, said Sean McClain, CEO of Montauk.

The initial delivery period is expected to begin in 2026 and is expected to last for 15 years upon final agreement.

By thinking creatively, building robust relationships, and strategically assembling the pieces for long-term growth, we are at the forefront of the clean energy transition. With genuine excitement and a shared vision, EE North America and Montauk are forging a powerful partnership, propelling us toward a brighter and more sustainable tomorrow. Our passion for driving the transition to cleaner energy fuels our dedication every step of the way, said Lorena Ciciriello, CEO of EE North America.

The planned delivery would prevent a critical amount of biogenic CO2 from entering the atmosphere and put it to beneficial use, creating a new fixed-price commodity revenue stream for Montauk.

Jaime Casasus-Bribian, European Energy’s Head of Power-to-X Projects for the Americas & Iberia emphasized the value of being a first mover in the Power-to-X space.

Collaboration is paramount in tackling large and complex projects, and we are thrilled to celebrate this agreement with Montauk. With a holistic approach to project development and strong strategic partnerships, we are leveraging the expertise from our blueprint e-methanol project in Denmark (Kassø), maximizing our first mover advantage in the US, together with our group company Ammongas that provides solutions for capturing and cleaning CO2. Our aim is to be a key player in the US across e-fuels and hydrogen, driving innovation and forging a sustainable energy future, said Jaime Casasus-Bribian.

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