NG Advantage LLC, a majority-owned subsidiary of Clean Energy Fuels Corp., has signed an 18-month contract extension with International Paper. Under this extension, NG Advantage will continue delivering compressed natural gas (CNG) to International Paper’s Ticonderoga, N.Y., paper mill using its “virtual pipeline” of tractor-trailers. The company says it has been providing the mill with approximately 18 trailer loads of CNG daily.
International Paper initially awarded a contract to NG Advantage in order to begin using natural gas prior to the completion of a planned natural gas pipeline. However, International Paper decided to cancel the pipeline project because of escalating delays and costs and issued a request for proposals for long-term virtual pipeline service to keep natural gas in its fuel mix. After evaluating bids, International Paper chose to extend its existing contract with NG Advantage.
“It’s a pleasure to work with the very innovative people at International Paper and help them meet their environmental and financial goals in a rapidly changing world,” says NG Advantage CEO Tom Evslin. “The service to the IP mill demonstrates that our trucked CNG platform has successfully been scaled to meet demand which would have formerly required a special pipeline extension.”
