Bioenergy

Agreement to Buy Renewable Natural Gas from Huckabay Ridge

Lower Colorado River Authority (LCRA) and Microgy, Inc. announced an agreement for the purchase, for an 18-month period, of all Renewable Natural Gas (RNG) generated from Microgy’s Huckabay Ridge facility in Stephenville, Texas.

Once operational, the facility owned by Microgy, a subsidiary of Environmental Power Corporation, will generate up to 2 million cubic feet of RNG per day from cow manure and other agricultural wastes for use in any of LCRA’s three natural gas-fired power plants. The facility is expected to be generating gas at full capacity by the end of the first quarter of 2007. With an expected commercial production of 650,000 mmBTUs of natural gas per year, Huckabay Ridge will be generating the equivalent of 12,700 gallons of heating oil per day from the manure of approximately 10,000 cows at the 8-digester site. The biogas produced at the facility will be treated to commercial natural gas standards, compressed and transported via pipeline to LCRA power plants.