Aemetis Biogas production capacity reaches 300,000 MMBtu per annum

US-based biogas conglomerate Aemetis Inc. announced that its subsidiary – Aemetis Biogas – has reached a significant milestone by constructing and operating dairy digesters capable of producing over 300,000 MMBtu of renewable natural gas (RNG) annually. The planned addition of new digesters is expected to boost annual RNG production to over 800,000 MMBtu by the third quarter of 2025, representing a more than 150% increase from the current production level.

Aemetis Inc Chairman & CEO Eric McAfee stated that their commercial revenue generation from selling RNG for transportation began in January 2023, and the firm has already reached a production rate exceeding 300,000 MMBtu per year, generating approximately $13 million annually in today’s markets. “We have already closed $50 million of 20-year USDA guaranteed funding for the biogas project and achieved positive cash flow from biogas operations, and we are working to close an additional $75 million of USDA-guaranteed construction funding this year.”

The California Low Carbon Fuel Standard (LCFS) credits generated by Aemetis Biogas currently have a negative 150 Default pathway carbon intensity (CI). This CI is expected to drop below negative 320 once CARB approves Provisional pathways for each digester. The revenue from LCFS credits earned at the improved CI of the Provisional pathway will be about 85% higher than the revenue from the default pathway.

Aemetis has designed its RNG production infrastructure for cost-effective expansion. An Aemetis-owned pipeline transports biogas from dairy digesters to a centralized RNG upgrading facility at the Aemetis Keyes ethanol plant. The company has already installed 36 miles of biogas pipeline and has an additional 24 miles approved under the CEQA environmental process, totaling 60 miles of biogas gathering pipeline.

The Aemetis Biogas project, which includes dairy digesters, a collection pipeline, a centralized biogas upgrading facility, a planned RNG fueling station, and a PG&E gas pipeline interconnection, is expected to invest over $300 million in California’s Central Valley.

The dairy biogas operations enhance air quality in several disadvantaged communities and generate additional tax revenues and new jobs for various Central Valley businesses.