NW Natural Begins Producing RNG at Second Tyson Foods Facility

Rhea-AI Summary

NW Natural and BioCarbN have started production at a second RNG facility in Nebraska, with an investment of $12 million. The two projects combined are expected to produce 240,000 MMBtu of RNG annually, enough to heat over 5,400 homes. NW Natural aims to procure RNG equivalent to 5% of its Oregon sales volume in 2024 and 6% in 2025.

Positive

• NW Natural and BioCarbN have invested $12 million in a second RNG facility in Nebraska, expected to produce 240,000 MMBtu of RNG annually. This could positively impact NW Natural's stock price as it moves towards achieving its renewable energy targets.

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• None.

RNG environmental benefits dedicated to NW Natural Oregon customers

PORTLAND, Ore.--(BUSINESS WIRE)-- NW Natural, a subsidiary of NW Natural Holding Company (NYSE: NWN), and BioCarbN, a developer and operator of environmental infrastructure projects, began production at a second renewable natural gas (RNG) facility, as part of an innovative project partnership with Tyson Foods.

The facility is located in Dakota City, Nebraska, with NW Natural investing approximately $12 million to convert methane captured from the facility’s operations into RNG to heat homes and businesses. The first project began at Tyson’s Lexington, Nebraska operations in January 2022.

At full capacity, the two projects combined are expected to produce about 240,000 MMBtu of RNG each year – enough RNG to provide heat for more than 5,400 homes annually.

“Each project like this contributes meaningful carbon reductions on behalf of our customers and moves us toward achieving our shared climate goals,” said David H. Anderson, NW Natural president and CEO. “We’re aggressively pursuing additional opportunities, so we can increase our use of renewables over time.”

NW Natural is working toward procuring RNG equivalent to 5% of its Oregon sales volume in 2024 and 6% in 2025 as part of the company’s voluntary targets. These investments are made possible through the landmark RNG law, Oregon Senate Bill 98, which supports renewable energy procurement and investment by natural gas utilities.

RNG is produced from the breakdown of organic materials like agricultural and forestry by-products, food waste, wastewater, or landfills, and is a unique and valuable form of renewable energy. RNG can provide similar climate benefits to wind and solar, with the reliability and seasonal storage capabilities of natural gas – all while capturing, conditioning and utilizing organic material that would otherwise contribute carbon to the atmosphere.

Partners for these projects include BioCarbN, an Idaho-based developer and operator of renewable energy projects and Miron Construction Co., Inc., a Wisconsin-based design-build and construction company. These projects are also made possible through pipeline interconnections with local gas distribution systems — MidAmerican Energy in Dakota City, and Black Hills Energy in Lexington.

About NW Natural

NW Natural, a part of Northwest Natural Holding Company, (NYSE: NWN) (NW Natural Holdings), is headquartered in Portland, Oregon, and has been doing business for 164 years. NW Holdings owns NW Natural, NW Natural Renewables Holdings (NW Natural Renewables), NW Natural Water Company (NW Natural Water), and other business interests.

NW Natural is a local distribution company that currently provides natural gas service to approximately 2.5 million people in more than 140 communities through nearly 795,000 meters in Oregon and Southwest Washington with one of the most modern pipeline systems in the nation.

We have a longstanding commitment to safety, environmental stewardship, and taking care of our employees and communities. NW Natural consistently leads the industry with high J.D. Power & Associates customer satisfaction scores. NW Natural Holdings was recognized by Ethisphere® in 2022 and 2023 as one of the World’s Most Ethical Companies®. Learn more in our latest ESG Report.

“World’s Most Ethical Companies” and “Ethisphere” names and marks are registered trademarks of Ethisphere LLC

About BioCarbN

BioCarbN is an Idaho-based sustainable infrastructure project developer and operator, focused on constructing, owning and operating turnkey RNG production, nutrient recovery, and waste conversion plants. www.biocarbn.com

About Tyson Foods, Inc

Tyson Foods, Inc. (NYSE: TSN) is one of the world’s largest food companies and a recognized leader in protein. Founded in 1935 by John W. Tyson and grown under four generations of family leadership, the Company has a broad portfolio of products and brands like Tyson®, Jimmy Dean®, Hillshire Farm®, Ball Park®, Wright®, Aidells®, ibp® and State Fair®. Headquartered in Springdale, Arkansas, the Company had approximately 142,000 team members on October 1, 2022. Through its Core Values, Tyson Foods strives to operate with integrity, create value for its shareholders, customers, communities and team members and serve as a steward of the animals, land and environment entrusted to it. Visit www.tysonfoods.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20230502005546/en/

Media Contact: Dave Santen, media@nwnatural.com, (503) 739-9902 pager

Investor Contact: Nikki Sparley, nikki.sparley@nwnatural.com, (503) 721-2530

Source: NW Natural

FAQ

What is RNG?

RNG stands for renewable natural gas, which is produced from the breakdown of organic materials and is a form of renewable energy. It provides climate benefits similar to wind and solar.

What are NW Natural's renewable energy targets?

NW Natural aims to procure RNG equivalent to 5% of its Oregon sales volume in 2024 and 6% in 2025.

How much did NW Natural invest in the second RNG facility?

NW Natural invested approximately $12 million in the second RNG facility in Nebraska.