OPAL Fuels Signs 60 Million Gallon RNG Supply Agreement for Five New Fueling Stations Built by OPAL

Rhea-AI Summary

OPAL Fuels (Nasdaq: OPAL) has secured a significant long-term agreement to supply renewable natural gas (RNG) to a major freight logistics provider through five new fueling stations. The six-year agreement expects an annual volume of approximately 12 million gasoline gallon equivalent (GGE) once fully operational.

Two stations are scheduled for commissioning this month, with the remaining three to be completed within the next 6-12 months. This agreement extends a decade-long partnership between the companies, expanding their existing network of fueling stations across the United States. The collaboration aims to support the de-carbonization of heavy-duty trucking through RNG, offering both financial and sustainability benefits as a diesel alternative.

Positive

• Secured long-term RNG supply agreement for 12M GGE annually
• Expansion of existing successful partnership with major logistics provider
• Near-term revenue growth with 2 stations launching immediately
• Strategic expansion of fueling infrastructure network

Negative

• Significant capital investment required for station construction
• Extended 6-12 month timeline for full operational capacity

Insights

Energy Industry Analyst

The execution of this 60 million gallon RNG supply agreement represents a substantial commercial milestone for OPAL Fuels. The deal structure, spanning six years with 12 million GGE annual volume, provides steady, predictable revenue streams that strengthen OPAL's financial position. The rapid deployment schedule, with two stations coming online immediately and three more within 12 months, indicates strong operational execution capabilities. The logistics provider's commitment to RNG adoption signals growing market confidence in renewable natural gas as a viable alternative to diesel fuel. This agreement's strategic value lies in expanding OPAL's infrastructure footprint while securing long-term RNG offtake, effectively de-risking their business model. The timing aligns perfectly with increasing corporate sustainability initiatives and regulatory pressures to reduce transportation emissions.

Supply Chain Expert

This partnership demonstrates the accelerating adoption of RNG infrastructure in freight logistics. The five new fueling stations strategically expand the network coverage, important for long-haul operations. The six-year commitment from a market-leading logistics provider validates RNG's operational viability in heavy-duty trucking. The phased station rollout over 6-12 months suggests careful network optimization to maximize utilization. For logistics operators, this dual benefit of cost reduction and emissions reduction is particularly compelling as they face increasing pressure to demonstrate environmental stewardship while maintaining competitive operating margins. The decade-long history between the parties indicates proven reliability and performance of OPAL's RNG solution in real-world logistics applications.

OPAL will supply RNG to a market-leading freight logistics operator under a long term agreement for the new fueling stations.

WHITE PLAINS, N.Y.--(BUSINESS WIRE)-- OPAL Fuels Inc. (Nasdaq: OPAL) today announced it has executed a long-term agreement with a market-leading provider of integrated logistics solutions to supply renewable natural gas (“RNG”) at five new fueling stations that are currently being built and will be serviced by OPAL Fuels under existing long-term agreements. The new station supply agreement builds upon a decade-long collaboration between the companies which has established a broad network of fueling stations across the United States.

The six-year RNG supply agreement anticipates a combined annual volume of approximately 12 million gasoline gallon equivalent (GGE) once all stations are operational. Two of the new stations are set to be commissioned this month with the remaining three stations over the next six to twelve months.

“This significant agreement with a leading freight logistics provider underscores both their and OPAL’s commitment to de-carbonize heavy duty trucking through RNG,” said Adam Comora, Co-CEO of OPAL Fuels. “With its proven financial and sustainability benefits, the demand for RNG as a diesel alternative is only set to grow in the coming years. We are thrilled to leverage our vertically integrated platform to provide a ‘Cleaner, Cheaper, Now’ fuel solution helping fleets lower both their operating costs and their carbon footprint.”

About OPAL Fuels Inc.

OPAL Fuels Inc. (Nasdaq: OPAL) is a leader in the capture and conversion of biogas into low carbon intensity RNG and renewable electricity. OPAL Fuels is also a leader in the marketing and distribution of RNG to heavy-duty trucking and other hard-to-de-carbonize industrial sectors. For additional information and to learn more about OPAL Fuels and how it is leading the effort to capture North America’s harmful methane emissions and decarbonize the economy, please visit www.OPALfuels.com.

Forward-Looking Statements

Certain statements in this communication may be considered forward-looking statements within the meaning of the “safe harbor” provisions of the United States Private Securities Litigation Reform Act of 1995. Forward-looking statements are statements that are not historical facts and generally relate to future events or OPAL Fuels’ (the “Company’s”) future financial or other performance metrics. In some cases, you can identify forward-looking statements by terminology such as “believe,” “may,” “will,” “potentially,” “estimate,” “continue,” “anticipate,” “intend,” “could,” “would,” “project,” “target,” “plan,” “expect,” or the negatives of these terms or variations of them or similar terminology. Such forward-looking statements are subject to risks and uncertainties, which could cause actual results to differ materially from those expressed or implied by such forward-looking statements. New risks and uncertainties may emerge from time to time, and it is not possible to predict all risks and uncertainties. These forward-looking statements are based upon estimates and assumptions that, while considered reasonable by the Company and its management, as the case may be, are inherently uncertain and subject to material change. Factors that may cause actual results to differ materially from current expectations include various factors beyond management’s control, including, but not limited to, general economic conditions and other risks, uncertainties and factors set forth in the sections entitled “Risk Factors” and “Cautionary Statement Regarding Forward-Looking Statements” in the Company’s annual report on Form 10-K and quarterly reports on Form 10-Q, and other filings it makes with the Securities and Exchange Commission. Nothing in this communication should be regarded as a representation by any person that the forward-looking statements set forth herein will be achieved or that any of the contemplated results of such forward-looking statements will be achieved. You should not place undue reliance on forward-looking statements in this communication, which speak only as of the date they are made and are qualified in their entirety by reference to the cautionary statements herein. Except as required by law, the Company expressly disclaims any obligations or undertaking to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in the Company’s expectations with respect thereto or any change in events, conditions, or circumstances on which any statement is based.

Disclaimer

This communication is for informational purposes only and is neither an offer to purchase, nor a solicitation of an offer to sell, subscribe for or buy, any securities, nor shall there be any sale, issuance or transfer or securities in any jurisdiction in contravention of applicable law. No offer of securities shall be made except by means of a prospectus meeting the requirements of Section 10 of the Securities Act of 1933, as amended.

View source version on businesswire.com: https://www.businesswire.com/news/home/20250107225694/en/

OPAL Fuels

Investors

Todd Firestone

Vice President Investor Relations and Corporate Development

914-705-4001

investors@OPALfuels.com

Media

ICR, Inc.

OPALFuelsPR@icrinc.com

Source: OPAL Fuels, Inc.

FAQ

What is the volume of OPAL Fuels' new RNG supply agreement announced in 2024?

The new agreement anticipates a combined annual volume of approximately 12 million gasoline gallon equivalent (GGE) once all stations are operational.

How many new fueling stations will OPAL Fuels build under the latest agreement?

OPAL Fuels will build and service five new fueling stations under the latest agreement.

What is the timeline for OPAL Fuels' new station deployments?

Two stations will be commissioned immediately, with the remaining three stations to be completed over the next six to twelve months.

How long is OPAL Fuels' new RNG supply agreement?

The new RNG supply agreement is a six-year long-term agreement.

What is the strategic significance of OPAL's new RNG supply agreement?

The agreement builds upon a decade-long collaboration and demonstrates commitment to de-carbonize heavy duty trucking while providing financial and sustainability benefits.