Waste-to-Value Pioneer Nexus W2V Secures $140MM Investment & Announces Construction of Flagship RNG Facility in Indiana

Rhea-AI Summary

Nexus W2V has secured $140 million in investments, including a $75 million structured equity commitment from Orion Infrastructure Capital, to construct its flagship Kingsbury Bioenergy Complex in La Porte, Indiana. The facility will convert organic waste into renewable natural gas (RNG) and other products.

Located 70 miles from Chicago, the facility will process 200 tons of organic waste daily and is expected to be fully operational by the end of 2026, creating 35 local jobs. The RNG produced will be injected into Northern Indiana's pipeline system. Additional investors include Nexus Holdings, Khasma Capital, Sterling Bank, and Ameris Bank.

Positive

• Secured substantial $140MM total investment with $75MM structured equity commitment
• Facility will process 200 tons of organic waste daily
• Project will create 35 local jobs
• Strategic location near Chicago provides access to large waste market
• Secured pipeline access for RNG distribution

Negative

• Facility won't be operational until end of 2026
• Significant capital requirements for project development

Insights

Financial Analyst

The $140MM investment, particularly the $75MM structured equity commitment from OIC, represents significant capital backing for Nexus W2V's waste-to-RNG infrastructure expansion. The project's strategic location near Chicago positions it well to serve a major metropolitan area's waste management needs. The facility's 200-ton daily processing capacity and pipeline integration with Northern Indiana's system indicates strong revenue potential from both waste processing fees and RNG sales. The backing of established financial institutions like Sterling Bank and Ameris Bank (ABCB) suggests confidence in the project's financial viability. The creation of 35 local jobs and expected completion by 2026 provides a clear timeline for revenue generation, though investors should note the execution risks inherent in infrastructure projects of this scale.

Environmental Technology Expert

The Kingsbury Bioenergy Complex represents a significant advancement in sustainable waste management technology. The facility's ability to process 200 tons of organic waste daily into RNG and valuable coproducts like compost and biochar demonstrates an efficient circular economy approach. The project's integration with existing pipeline infrastructure reduces implementation barriers and maximizes distribution efficiency. This technology addresses two critical environmental challenges: waste management and renewable energy production. The facility's location strategically serves both Chicago's waste management needs and contributes to Indiana's renewable energy infrastructure. The project's design aligns with evolving waste management legislation and growing demand for sustainable disposal solutions.

The company plans to roll out cost-competitive waste remediation solutions to communities across North America, beginning in Indiana 

CHICAGO, Dec. 10, 2024 /PRNewswire/ -- Nexus W2V, a leading developer of waste-to-value infrastructure projects, announced the closing of an anchor $75 million structured equity commitment from Orion Infrastructure Capital ("OIC"). With additional investment from Nexus Holdings, Khasma Capital, Sterling Bank and Ameris Bank, Nexus W2V has issued notice to proceed with the construction of its flagship facility, the Kingsbury Bioenergy Complex in La Porte, Indiana, which will turn source-separated organics into renewable natural gas (RNG).

"National waste is on the rise, and the legislation around waste management is quickly evolving to drive meaningful change across the industry," said Ben Hubbard, CEO of Nexus Holdings. "Nexus W2V is embracing that change and providing a cost-competitive alternative waste disposal method that's positive for both energy production and the environment."

Nexus W2V focuses on converting organic waste streams into renewable natural gas, compost products and biochar, as exemplified by the Kingsbury Bioenergy Complex. Led by waste and energy industry veterans, the Nexus W2V team boasts decades of combined experience across industrial design and construction, bio-energy development and regenerative agriculture.

"In conjunction with our newly forged capital partnership, Nexus W2V is well prepared to deliver industry-leading projects in the waste-to-value sector across North America, and OIC is excited to play a part in deploying these innovative solutions supporting sustainable landfill diversion and the reduction of associated emissions," said Chris Leary, Investment Partner and Head of Infra Equity at OIC.

Located 70 miles outside Chicago, Nexus W2V's flagship waste-to-RNG facility is expected to process 200 tons of organic waste daily into RNG and coproducts. The RNG will be injected into Northern Indiana's existing pipeline system, enhancing the region's domestically produced renewable energy supply. The Kingsbury Bioenergy Complex is expected to be fully operational by the end of 2026 and bring 35 local jobs to La Porte.

"The Kingsbury Bioenergy Complex will offer the greater Chicago area and western Indiana a long-term solution to their organic waste disposal needs," said Roshan Vani, CEO of Nexus W2V. "It's the first in a series of waste-to-value projects that Nexus W2V has planned nationwide and serves as a blueprint for how we plan to think about the waste-to-value ecosystem."

About Nexus W2V
Nexus W2V is a leading developer of waste-to-value infrastructure projects, providing waste remediation to haulers, producers, and utilities across North America. The company's integrated business model offers end-to-end services, including organic waste diversion to RNG, food waste and green waste to compost, wood and agriculture waste to biochar, and full-scale municipal solid waste sorting and recovery systems. To learn more, visit nexusw2v.com.

About OIC
With approximately $5 billion in assets under management, OIC invests in North America and select international markets. OIC's unique partnership approach – for entrepreneurs, by entrepreneurs – cultivates creative credit, equity, and growth capital solutions to help middle market businesses scale and deploy sustainable infrastructure. OIC's target investment sectors include energy efficiency, digital infrastructure, social infrastructure, sustainable power generation, renewable fuels, waste & recycling, water, transportation, and agriculture. OIC was founded in 2015 by a team of energy and sustainability veterans, successful infrastructure investors, and former asset owners and industry operators. Across OIC's platform is a team of approximately 45 professionals based in New York, Houston, and London. To learn more, visit oic.com.

About Nexus Holdings
Nexus Holdings is an investment and advisory firm that supports the development and execution of low-carbon infrastructure projects. For over a decade, Nexus has supported the development and execution of more than $35 billion in low-carbon infrastructure projects and collaborated with investment firms to manage more than $1 trillion in assets. The company leverages the offerings of its three wholly owned subsidiaries to provide support and services throughout the lifecycle of low-carbon projects, including Nexus PMG, an infrastructure advisory firm; Pathway Energy, a sustainable aviation fuel producer; and Nexus W2V, a developer of waste-to-value infrastructure projects.  

About Khasma Capital
Khasma Capital provides development capital and expertise to teams building sustainable infrastructure projects. As a market leader in funding energy transition and circular economy assets, Khasma Capital's partnership model enables developers to prove their business model, complete development activities, grow their teams and commercialize their technologies. To learn more, visit https://www.khasmacapital.com/.

About Ameris Bank
Ameris Bank, a subsidiary of Ameris Bancorp (NYSE: ABCB), is a state-chartered bank headquartered in Atlanta, Georgia. Ameris operates 164 financial centers across the Southeast and serves consumer and business customers nationwide through select lending channels. Ameris manages $26.4 billion in assets as of September 30, 2024, and provides a full range of traditional banking and lending products, treasury and cash management, insurance premium financing, and mortgage and refinancing services. Learn more about Ameris at amerisbank.com.

Media Contact
Mission Control for Nexus Holdings and Nexus W2V
nexus.pmg@missionc2.com

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SOURCE Nexus PMG

FAQ

How much investment did Nexus W2V secure for its Indiana RNG facility?

Nexus W2V secured $140 million in total investments, including a $75 million structured equity commitment from Orion Infrastructure Capital.

When will the Kingsbury Bioenergy Complex be operational?

The Kingsbury Bioenergy Complex is expected to be fully operational by the end of 2026.

How many tons of organic waste will the Kingsbury facility process daily?

The facility will process 200 tons of organic waste daily into renewable natural gas (RNG) and coproducts.

How many jobs will the Kingsbury Bioenergy Complex create in La Porte?

The Kingsbury Bioenergy Complex will bring 35 local jobs to La Porte, Indiana.