Chesapeake Utilities Corp. has entered a new partnership with CleanBay Renewables Inc., an enviro-tech company focused on the production of sustainable renewable natural gas (RNG), that will generate greenhouse gas credits associated with vehicular usage and provide Chesapeake Utilities the opportunity to bring additional RNG to its Delmarva operations.
Under the arrangement, Chesapeake Utilities will transport the RNG produced at CleanBay’s planned Westover, Md., bio-refinery to Chesapeake Utilities’ natural gas infrastructure in the Delmarva region.
The RNG generated at CleanBay’s Westover facility will reach the market through the joint effort of Chesapeake Utilities Corp. and its subsidiaries, Eastern Shore Natural Gas Co. (ESNG) and Marlin Gas Services. Using a virtual pipeline concept, Marlin Gas will transport RNG from the CleanBay facility to Chesapeake Utilities’ interstate infrastructure pipeline, where it will be distributed to end-use customers, including low-carbon, renewable vehicle fuel customers.
“Through this partnership, Chesapeake Utilities Corp. has an immediate and scalable opportunity to further impact climate change,” says Thomas Spangler, executive chairman of CleanBay Renewables.
“Our process to turn poultry litter into renewable natural gas is a sustainable, environmentally friendly way to both positively influence our region’s poultry ecosystem and reduce U.S. greenhouse gas emissions for end-use customers including powering vehicle fleets with clean, green energy,” he adds.
Similar to additional planned CleanBay facilities, the Westover bio-refinery will recycle more than 150,000 tons of chicken litter annually. By repurposing a potential source of excess nutrients, CleanBay can generate 765,000 MM Btu of sustainable RNG.
The Westover facility is scaled to be large enough to process meaningful quantities of poultry litter and will include more than $200 million of capital investment by CleanBay. Site preparation is underway, and construction is scheduled to begin later this year.
Photo: CleanBay Renewables’ Technology web page