Xebec Acquires UECompression to Focus on RNG, Hydrogen Manufacturing


Xebec Adsorption Inc., a clean energy solutions provider, has closed the acquisition of all the outstanding shares of Colorado-based UECompression (UEC). Founded in 1983, UEC is a designer and builder of custom air and gas compressor solutions for power generation, industrial and energy applications.

The acquisition of UEC provides Xebec with a pathway towards expanding production capacity five-fold for standardized renewable gas (RNG) systems while supporting UEC’s legacy business as the operation continues its energy transition. In addition, Xebec’s global manufacturing footprint is further optimized by bringing European gas generation products such as Hy.GEN to the U.S. and focuses UEC’s facility on containerized and skid-mounted renewable energy systems.

Furthermore, the acquisition increases the Cleantech Service Network coverage by six states (Montana, Wyoming, Colorado, North and South Dakota, and Nebraska) to meet the increasing need for local service and support as the demand for standardized RNG and hydrogen systems accelerates.

Xebec expects that with limited changes to operations it can use UEC’s excess capacity to produce approximately 150 to 190 containerized BGX Biostream biogas upgrading and Hy.GEN hydrogen units per year in North America. The new capacity from UEC adds to recent capacity increases in Xebec’s Canadian manufacturing facility.

“UEC helps Xebec solidify its position as a leading renewable gas player by adding a 100,000 square foot manufacturing facility in the U.S.,” says Kurt Sorschak, chairman, president and CEO of Xebec. “With this acquisition, we are responding to the accelerating energy transition and the associated interest in containerized RNG and hydrogen systems. Furthermore, UEC’s existing compression expertise in hydrogen will become increasingly relevant as the hydrogen economy develops. The acquisition will also help us in fully complying with current and evolving needs for local sourcing.”

The total consideration for the acquisition of the outstanding shares of UEC is of $8 million and is subject to certain holdbacks and adjustments. On a standalone basis, UEC is expected to have unaudited revenues of approximately $35 million for 2021. W

Xebec is focused on serving animal manure-based projects because of their ability to reduce emissions from agriculture, support local communities and recycle nutrients.

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