AUSTIN, Texas - In a significant step toward cleaner energy production, Montauk Renewables, Inc. (NASDAQ: MNTK) and EE North America have entered into a long-term agreement for the supply of biogenic carbon dioxide (CO2). The contract, announced today, entails Montauk providing 140,000 tons of CO2 annually over a minimum of 15 years, which will be utilized by EE North America to produce e-methanol at its Texas facility.
The collaboration is set to prevent substantial amounts of CO2 from being released into the atmosphere by transforming it into a valuable commercial feedstock. Montauk will capture, purify, and liquefy the biogenic CO2 from select Texas facilities, after which it will be transported to EE North America's e-methanol production site. There, it will be combined with green hydrogen to create e-methanol, which can be used as an alternative fuel in shipping, as well as a raw material for eco-friendly plastics and in heavy transport.
This initiative not only showcases an environmentally responsible business model but also opens new revenue avenues for Montauk Renewables. Lorena Ciciriello, CEO of EE North America, highlighted the importance of such partnerships in leading the way toward a sustainable future, while Sean McClain, CEO of Montauk, emphasized the agreement's alignment with their commitment to fighting climate change and enhancing shareholder value through sustainable practices.
Jaime Casasus-Bribian, EE's Director of PtX Projects, pointed out that being a pioneer in the Power-to-X sector involves strong partnerships, and this agreement is in line with their strategy, similar to their e-methanol project in Denmark.
EE North America, a subsidiary of European Energy A/S, specializes in developing renewable energy projects and has been recognized as one of the "10 Hydrogen Companies to Watch in the U.S. in 2024" by Reuters Events. Montauk Renewables, with a history of more than 30 years in renewable energy projects, manages and converts biogas into renewable natural gas (RNG) and power for the electrical grid.
This partnership between Montauk and EE North America represents a significant commitment to reducing fossil fuel reliance and marks a milestone in the advancement of renewable energy solutions. The information for this article is based on a press release statement.
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