EverGen Infrastructure Corp., Canada’s renewable natural gas (“RNG”) infrastructure platform, announces that it has been featured in a broadcast via NetworkNewsAudio (“NNA”), a solution that delivers additional visibility, recognition and brand awareness in the investment community via distribution to thousands of syndication points. The audio news release covers EverGen’s recent announcement of its entry into definitive agreements with Northeast Renewables LP (“Northeast”) to acquire a 50% interest in a portfolio of RNG development projects.
As detailed in the news release, Project Radius, located in southern Ontario, is a late-development-stage portfolio of three high-quality, on-farm RNG projects, collectively capable of producing roughly 1.7 million GJ/year of RNG that will contribute to the reduction of emissions from agricultural operations in southern Ontario. Each of the three projects is expected to produce approximately 550,000 GJ/year and will be constructed throughout 2023 and 2024.
“The acquisition of Project Radius provides a foothold in Ontario – a new and strategic jurisdiction in which EverGen can continue to participate in the consolidation and growth of the RNG industry in the near-term, as well as benefit from project economics in line with or exceeding those we have seen with our initial projects,” Chase Edgelow, CEO of EverGen, stated in the news release. “Working alongside Northeast to advance the projects, EverGen will deliver on our platform expansion commitments with the potential to exceed 1,000,000 GJ of RNG production annually. Ontario has an abundant amount of excess organic feedstock, and as a leader in the RNG industry, EverGen can develop the sustainable infrastructure that contributes to carbon-negative energy production and the greening of the province.”
Under the terms of the agreements, EverGen has acquired a 50% interest in Project Radius for a cash contribution of $1.5 million, which represents 50% of the initial development funding tranche of $3.0 million. EverGen’s share of the initial tranche of development funding will be provided from existing working capital and operating cash flow and is expected to advance the projects to the Notice-to-Proceed (“NTP”) phase of development within the next six months.
EverGen will work with Northeast on developing Project Radius to achieve NTP, at which time EverGen will have the right to participate in funding its proportionate share of the capital to construct large scale anaerobic digesters that convert biodegradable waste into biogas, which is then upgraded to RNG for use in the gas grid. Additionally, EverGen has a right of first offer to transition as exclusive operator of Project Radius at NTP. Project Radius is in late-stage negotiations for feedstock supply with multiple aggregators, as well as offtake agreements with utility-scale distribution companies.
