Aemetis, Inc., a leader in renewable natural gas (RNG) and renewable fuels, has announced the commissioning of three additional dairy digesters through its Aemetis Biogas subsidiary. The expansion, completed in December 2024, increases the company’s digesters from nine to twelve, significantly enhancing its RNG production capacity. The new digesters are projected to generate 250,000 MMBtu of renewable natural gas annually, contributing to the company’s goal of producing 550,000 MMBtu of RNG in 2025.
“This expansion is a key step in driving growth for Aemetis, with the increased digesters set to boost our near-term RNG production by 80%,” said Eric McAfee, Chairman and CEO of Aemetis. “The added capacity will be crucial for our growth in 2025 and beyond, particularly as we await final IRS guidance on the Section 45Z Production Tax Credit, which is designed to promote domestic renewable fuel production. We’re also well-positioned to further expand our feedstock base, with 50 dairies already signed up and more opportunities across Central California.”
The expansion of Aemetis Biogas is expected to create substantial revenue and income growth, facilitated by several key factors:
Sale of California Low Carbon Fuel Standard (LCFS) credits
Sale of federal Renewable Fuel Standard (RFS) D3 Renewable Identification Numbers (RINs)
Planned sale of IRA Section 45Z Production Tax Credits (45Z PTC)
Sale of the increased Renewable Natural Gas (RNG) production.
The company is currently awaiting approval for its LCFS pathway for seven digesters under review by the California Air Resources Board (CARB). Once approved, the company expects an approximately 80% increase in the number of LCFS credits it will receive for RNG produced by these digesters. Approval is expected in the first half of 2025.
When fully operational, the Central Dairy Project under Aemetis Biogas is expected to generate more than 1.6 million MMBtu of RNG annually, contributing to projected annual revenues of $250 million.
With this expansion, Aemetis continues to position itself as a leading player in the renewable fuels industry, tapping into the growing demand for low-carbon solutions and making strides toward a more sustainable future in the energy sector.
