RNG Firm Secures $207MM Funding from Climate Firm

Renewable natural gas (RNG) firm Vision RNG (VRNG) has secured project financing of an aggregate of $207 million from HASI, an investor in climate solutions.

The financing package includes both a $130 million construction facility and a $77 million investment tax credit (ITC) bridge loan, underscoring HASI's structuring capabilities as a preeminent investor in energy transition assets, Vision RNG said in a news release.

The funds will be used to develop facilities to convert landfill gas into RNG at the Ohio landfills of sustainable waste and recycling service provider WIN Waste Innovations. “This landmark funding will be instrumental in accelerating Vision RNG’s growth strategy which will result in advancing sustainable energy solutions and reducing carbon emissions,” the company said.

With an initial output expected to exceed 2 million British thermal units (MMBtus) of RNG annually, Vision RNG’s projects aim to double production within 11 years, positioning them among the largest RNG developments in the country. The company expects an annual reduction of approximately 120,000 tons of fossil-based carbon dioxide (CO2) emissions.

Pennsylvania-based Vision RNG is also partnering with WIN Waste Innovations to transform landfill gas, a natural byproduct of waste decomposition, into a valuable renewable resource, it said.

“Our partnership with HASI is a major milestone for Vision RNG,” Kevin Johnson, Chief Financial Officer at Vision RNG, said. “This funding enables us to continue moving forward with our ambitious plans to produce more renewable natural gas, ultimately reducing greenhouse gas emissions and supporting the transition to cleaner energy sources”.

“HASI is excited to partner with Vision RNG on these two remarkable projects that create low-carbon RNG by capturing methane emissions from landfills,” Annmarie Reynolds, HASI Senior Managing Director, said. “This investment highlights our ability to deploy tailored financing solutions that enable our partners to accelerate the deployment of clean fuels to heat homes and decarbonize the transportation sector”.

“Converting landfill gases into RNG keeps them out of the atmosphere and provides a resource that is in much demand by the transportation sector,” Doug Wilson, Chief Financial Officer at WIN Waste Innovations, said. “That very much aligns with our goal to embed sustainability at every step of our operations. We are excited to partner with Vision RNG to make good use of this renewable resource”.

Founded in 2021, Vision RNG describes itself as a leading developer, owner, and operator of landfill-gas-to-RNG facilities.

HASI is an investment firm with more than $12 billion in managed assets that actively partners with clients to deploy real assets that facilitate the energy transition.

WIN Waste Innovations describes itself as a sustainable provider of essential waste and recycling services. WIN Waste operates a platform of 49 strategically located collection, transfer, and disposal assets, including waste-to-energy facilities, transfer stations, recycling facilities, ash monofills, and landfills, as well as fleets of rail cars and collection vehicles, including electric trash trucks. Annually, WIN Waste recycles more than 109,000 tons of metals from the waste stream and converts more than 5.5 million tons of post-recycled waste into renewable energy.

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