Clean Energy Completes 3rd Production Train at Boron LNG Plant

Clean Energy Fuels Corp. constructed the third production train at its Boron LNG plant, increasing its volume capacity by 50% to produce up to 270,000 gallons of clean LNG per day. The additional supply from the new train allows customers to order bulk LNG to help decarbonize fuel-based assets such as city transportation and large container ships.

“Pasha Hawaii’s leadership in sustainable shipping has grown with the commissioning of their third LNG-powered ship,” said Greg Roche, Vice President at Clean Energy. “By growing their LNG fleet, they are reducing pollution and carbon emissions around the ports and showing that LNG can work as effectively as their fuel oil counterpart. The addition of more LNG production at our Boron facility will give us the capacity to allow other customers the ability to decarbonize their operations.”

Pasha Hawaii, a primary customer for Clean Energy, operates three LNG-powered container ships in the Ports of Long Beach, Oakland, and Honolulu. As of August 2022, the MV George II, MV George III, and MV Janet Marie had a collective LNG fuel volume of 526,486 gallons and has grown to 2,115,726 gallons in April 2024.

“We are dedicated to employing today’s most innovative resources and technologies to ensure the cleanest operations possible in the communities we serve,” said George Pasha IV, President and CEO, The Pasha Group. “We are proud to continue our partnership with Clean Energy to efficiently bunker and fuel our three LNG-powered container ships in the Pasha Hawaii fleet, which are among the most technologically advanced and environmentally friendly vessels to serve Hawaii and California.”

LNG fueling can improve the air quality around ports and Pasha Hawaii’s container ships, with the implementation of LNG operation, exceed the International Maritime Organization’s 2030 regulations for ocean vessels with zero sulfur emissions. Compared to ships using traditional fuels, Pasha’s LNG-powered vessels achieve a 90% reduction in NOx and a 25% reduction in CO₂ emissions.

Clean Energy Fuels signed a six-year $300 million senior loan from Stonepeak in December 2023. The credit agreement also provides a two-year delayed draw term loan commitment for an additional $100 million. Clean Energy will allocate a portion of the financing to repay existing loans.

In addition to paying off current loans, Stonepeak’s funding will provide Clean Energy with capital to develop new RNG production facilities and expand its fueling infrastructure for the heavy-duty transport market. Currently, Clean Energy provides RNG for hundreds of fleets as compressed natural gas (CNG) and LNG. Fueling heavy-duty fleets with CNG and LNG allows Clean Energy to decarbonize its large vehicles at a low cost.

RNG, produced with captured methane and used as transportation fuel, lowers greenhouse gas emissions on a lifecycle basis compared to diesel. The combination of RNG fuel and the 2024 launch of the Cummins X15N engine will allow Clean Energy to decarbonize heavy-duty transport fleets on a large scale.

Clean Energy is also developing a portfolio of RNG production facilities for the United States’ dairy industry. The first project is producing RNG in Texas and supplying it to Oregon’s transportation market through the state’s low-carbon fuels program. The company is also expanding its RNG fueling infrastructure, which is comprised of over 600 stations across North America.