Xebec Adsorption Inc., a global provider of clean energy solutions announced today that Xebec and Bähler Biogas Inc. have signed an agreement to develop an integrated facility to process various organic wastes for the production of renewable natural gas (RNG) and biofertilizer.
Located in Québec, Canada, this facility will process over 45,000 metric tons of organic waste per year through an anaerobic digestion process. This process will produce biogas that is upgraded into renewable natural gas (RNG) by a turnkey biogas upgrading equipment package supplied by Xebec. The facility will contribute to the circular economy in Québec, producing over 150,000 GJ of RNG and 7,500 metric tons of biofertilizer annually. The plant is expected to be commissioned in early 2021.
The project will sell its RNG under a 20-year off-take agreement at a fixed rate per gigajoule (GJ), and the biofertilizer produced will be sold and distributed to farmers through a major bio-solid management partner.
The project’s capital expenditures of approximately $28.0 million will be financed through a combination of equity from its development partners, non-recourse debt and a potential grant from Québec’s PTMOBC program (Programme de Traitement des Matières Organiques par Biométhanisation et Compostage), for which an application has been filed with the Québec Government. “We are proud to team up with a strategic partner like Xebec to build this state-of-the-art industrial facility and lead the market for a true total life cycle solution for waste valorization,” said Claude-Bernard Levesque, CEO, Bähler Biogaz Inc.
“It is great to finally see our first BOO project move forward. It showcases how local partners can come together to create a community-based sustainable waste solution for a true circular economy. Renewable natural gas presents a unique opportunity to both divert organic waste from landfills and produce a valuable source of clean energy to displace fossil natural gas and create a biofertilizer for farmers. Xebec plans to be a valuable technology provider and financial partner in the waste-to-RNG space in Canada,” said Kurt Sorschak, President and CEO, Xebec Adsorption Inc.