Aemetis Biogas Signs $27 Million Agreement with Centuri to Build Gas Cleanup Systems for 15 Dairy Digesters
Rhea-AI Summary
Aemetis (NASDAQ: AMTX) has announced a significant $27 million equipment agreement with Centuri Holdings (NYSE: CTRI) for building biogas cleanup systems across 15 dairy digesters. The agreement supports Aemetis Biogas's expansion plans for 50 dairy digesters already under contract. Currently, 16 dairies are scheduled to operate this summer in the Aemetis Biogas Central Digester Project near Modesto, California, featuring 36 miles of biogas pipeline and an operational central biogas-to-RNG facility.
The partnership with Centuri, a $2.6 billion infrastructure services contractor, extends beyond equipment supply to include construction management and pipe assembly for future energy efficiency and carbon sequestration projects. Aemetis's renewable energy portfolio includes plans to generate over 1 million MMBtu of renewable natural gas from 50 dairies, a mechanical vapor recompression system expected to generate $32 million in annual cash flow by 2026, and a carbon sequestration project to inject 1.4 million tons of CO2 annually.
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Insights
Aemetis' $27M agreement with Centuri accelerates their dairy RNG production capacity, strengthening revenue potential and environmental impact.
The $27 million agreement between Aemetis Biogas and Centuri Holdings represents a significant operational milestone in Aemetis' dairy renewable natural gas (RNG) strategy. This deal specifically funds biogas cleanup systems for 15 dairy digesters, accelerating Aemetis' ability to scale its existing portfolio of 50 signed dairy agreements.
The timing is particularly notable as Aemetis already has 16 dairies scheduled to be operational this summer, along with 36 miles of biogas pipeline and a central processing facility already delivering RNG to the PG&E pipeline. This infrastructure foundation provides immediate revenue-generating capacity while the new systems come online.
Beyond the immediate equipment agreement, the strategic relationship with Centuri (a $2.6 billion infrastructure contractor) suggests a significant expansion potential. Centuri's expertise in industrial facilities, gas pipelines, and utility electrical systems positions Aemetis to execute multiple complex projects simultaneously, potentially accelerating their development timeline across various renewable energy initiatives.
The broader context reveals Aemetis' diversified renewable energy portfolio, which includes plans to generate over 1 million MMBtu of RNG from the 50 dairy agreements, a mechanical vapor recompression system expected to generate $32 million in annual cash flow starting in 2026, a carbon sequestration project to inject 1.4 million tons of CO2 annually, and a 78 million gallon/year sustainable aviation fuel and renewable diesel plant that has already secured key permits.
This agreement demonstrates Aemetis' ability to secure strategic partnerships necessary to scale their multi-faceted renewable fuel operations, potentially accelerating the timeline from signed dairy agreements to revenue-generating RNG production.
CUPERTINO, Calif., May 13, 2025 (GLOBE NEWSWIRE) -- Aemetis, Inc. (NASDAQ: AMTX), a renewable natural gas and renewable fuels company focused on low and negative carbon intensity renewable fuels, announced today that its Aemetis Biogas subsidiary has signed a
This signed agreement, and expected future agreements with Centuri, will enable Aemetis Biogas to rapidly scale up the construction of dairy digesters to produce renewable natural gas (RNG) for a total of 50 dairies that have already been signed by Aemetis Biogas. This summer, 16 dairies are scheduled to be operating in the Aemetis Biogas Central Digester Project near Modesto, California, with 36 miles of biogas pipeline and a central biogas-to-RNG production facility already in operation delivering RNG into the PG&E utility gas pipeline.
“Our expanding strategic relationship with the experienced team at Centuri ranges from this agreement for biogas equipment to plans for construction management and pipe assembly to build upcoming energy efficiency, carbon sequestration and other projects,” stated Eric McAfee, Chairman and CEO of Aemetis. “We expect that Centuri will play a key role in building Aemetis projects on time and on budget, given their expertise in constructing industrial facilities, large scale gas pipeline projects. and utility electrical systems.”
“Centuri’s vast utility distribution expertise includes a growing number of renewable natural gas projects in multiple geographies, making the work with Aemetis a natural fit,” stated Dylan Hradek, President of US Gas at Centuri. “We expect to add significant value to upcoming projects at the Riverbank site and to support their ongoing work and plans to deliver innovative, renewable energy solutions across their portfolio.”
Aemetis renewable energy and energy efficiency projects include the expansion of dairy renewable natural gas production to generate more than 1 million MMBtu of renewable natural gas from 50 dairies that have signed agreements; the Keyes ethanol plant mechanical vapor recompression system that is expected to generate
About Aemetis
Headquartered in Cupertino, California, Aemetis is a renewable natural gas and renewable fuel company focused on the operation, acquisition, development and commercialization of innovative technologies that replace petroleum products and reduce greenhouse gas emissions. Founded in 2006, Aemetis is operating and actively expanding a California biogas digester network and pipeline system to convert dairy waste gas into Renewable Natural Gas. Aemetis owns and operates a 65 million gallon per year ethanol production facility in California’s Central Valley near Modesto that supplies about 80 dairies with animal feed. Aemetis owns and operates an 80 million gallon per year production facility on the East Coast of India producing high quality distilled biodiesel and refined glycerin. Aemetis is developing a sustainable aviation fuel and renewable diesel fuel biorefinery in California, renewable hydrogen, and hydroelectric power to produce low carbon intensity renewable jet and diesel fuel. For additional information about Aemetis, please visit www.aemetis.com.
About Centuri
Centuri Holdings, Inc. is a strategic utility infrastructure services company that partners with regulated utilities to build and maintain the energy network that powers millions of homes and businesses across the United States and Canada.
Safe Harbor Statement
This news release contains forward-looking statements, including statements regarding assumptions, projections, expectations, targets, intentions or beliefs about future events or other statements that are not historical facts. Forward-looking statements include, without limitation, projections of financial results in 2025 and future years; statements relating to the development, engineering, financing, construction and operation of the Aemetis ethanol, biogas, SAF and renewable diesel, and carbon sequestration facilities; our ability to promote, develop, finance, and construct facilities to produce biogas, renewable fuels, and biochemicals; and statements about future market prices and results of government actions. Words or phrases such as “anticipates,” “may,” “will,” “should,” “believes,” “estimates,” “expects,” “intends,” “plans,” “predicts,” “projects,” “showing signs,” “targets,” “view,” “will likely result,” “will continue” or similar expressions are intended to identify forward-looking statements. These forward-looking statements are based on current assumptions and predictions and are subject to numerous risks and uncertainties. Actual results or events could differ materially from those set forth or implied by such forward-looking statements and related assumptions due to certain factors, including, without limitation, competition in the ethanol, biodiesel and other industries in which we operate, commodity market risks including those that may result from current weather conditions, financial market risks, customer adoption, counter-party risks, risks associated with changes to federal policy or regulation, and other risks detailed in our reports filed with the Securities and Exchange Commission, including our Annual Reports on Form 10-K, and in our other filings with the SEC. We are not obligated, and do not intend, to update any of these forward-looking statements at any time unless an update is required by applicable securities laws.
Company Investor Relations
Media Contact:
Todd Waltz
(408) 213-0940
investors@aemetis.com
External Investor Relations
Contact:
Kirin Smith
PCG Advisory Group
(646) 863-6519
ksmith@pcgadvisory.com
FAQ
What is the value of Aemetis's (AMTX) agreement with Centuri Holdings?
How many dairy digesters does Aemetis (AMTX) have under contract?
What is the expected annual cash flow from Aemetis's Keyes ethanol plant system by 2026?
How much CO2 will Aemetis's Riverbank carbon sequestration project handle annually?
How many miles of biogas pipeline does Aemetis have in operation near Modesto?
