Kinder Morgan closes on RNG acquisition
SUMMARY
FID contemplated to convert some acquired assets to produce renewable natural gas
By Dale LunanUS midstream company Kinder Morgan said August 11 it had closed on the $135mn acquisition of landfill gas-to-power developer North American Natural Resources and two of its sister companies.
The acquisition includes seven landfill gas-to-power facilities, and with the close, Kinder Morgan will advance towards a final investment decision (FID) on a $175mn plan to convert up to four of the seven facilities to renewable natural gas (RNG).
Pending FID, the four converted facilities would be in service by early 2024, capable of producing up to 2bn ft3/year of RNG and bringing Kinder Morgan’s total RNG production capabilities to 7.7bn ft3/year.
The remaining three North American Natural Resources facilities will continue in gas-to-power operations, and are expected to generate about 4.8 MWh of electricity in 2023.
