August 28th Issue of Greenlane Digest
IN THE NEWS
Greenlane (TSXV:GRN) is a pioneer in the rapidly emerging renewable natural gas (RNG) market. We work with waste producers, gas utilities, and project developers to turn low-value biogas into a valuable low-carbon clean energy resource.
Greenlane announces second quarter financial results
Greenlane announces annual shareholder meeting results
Greenlane is a pure play in the RNG space, offering multiple core biogas upgrading technologies, in use and proven in the industry today. Biogas upgrading sales are forecasted by industry to grow at minimum 30% compound annual growth rate (CAGR) over the next five years in North America and Europe. Our demonstrated leadership in biogas upgrading, scope and breadth of product offerings, and 30+ years’ industry experience are fierce competitive advantages.
Today, we are a trusted partner globally and are ranked number one in installed capacity, having delivered more than 100+ biogas upgrading installations in 18 countries and counting. We’ve learned a lot along the way. First to market in 11 of the 18 countries where our systems operate, we’re also proud to have supplied the systems for the largest RNG production facilities in North America and Europe, respectively.
Through the Greenlane Digest, our goal is to provide weekly updates and the latest articles on the RNG industry. Make sure you forward our newsletter to your contacts!
Greenlane reported interim results for the second quarter ended June 30, 2020. Revenue of $4.2 million in the quarter was a 45% increase over the first quarter ended March 31, 2020, with a gross profit margin of $1.1 million (26% of revenue). The sales order backlog of $41.9 million at the end of the quarter represented a 159% increase over the $16.2 million reported at year-end 2019, with the sales pipeline valued at approximately $694 million. “We successfully grew our revenue this quarter by 45% on a sequential basis while facing some tough marketplace conditions as a result of the COVID19 backdrop,” said Brad Douville, President and CEO of Greenlane. “We also achieved a third consecutive quarter of rapid growth of our sales order backlog adding $21 million from the recent and significant contract wins for dairy farm projects in California. Our focus remains on a strong second half of 2020.”
Greenlane also announced the voting results from its Annual Shareholder Meeting (“AGM”), whereby all resolutions were approved by shareholders. All nominees for the Board of Directors were elected, the Company’s auditors were re-appointed, and the share option plan and RSU plan and awards were all approved.
Six new biogas-fuelled buses will be introduced in the city of Hameenlinna, Finland at the end of August. The buses, supplied by Scania Finland, are projected to reduce GHG emissions from public transportation by 500 tonnes, as the city acts on its objective to increase the use of sustainable transport and alternative fuels, including RNG.
A research team led by scientists from Iowa State University is studying ways to make anaerobic digestion more efficient and profitable for farmers who convert manure to natural gas. Currently, fewer than a dozen digesters exist in Iowa, although the state produces more manure than any other. The scientists are hoping to enhance the efficiency of anaerobic digestion, reduce the costs and ultimately provide an additional revenue stream through RNG production that will convince farmers in Iowa and beyond to add anaerobic digestion and biogas production to their operations.
In California, Sempra’s SoCalGas, the nation’s largest natural gas utility, has been working with heavy-duty truck fleet owners to secure millions of dollars in incentive funding for new near-zero emissions natural gas trucks. Long Beach trucking company Total Transportation Services Inc. is focused on replacing its 40 diesel-powered trucks with near-zero emissions natural gas trucks. The CEO says they are the closest direct replacement for diesel trucks in terms of their power and speed, the 600-mile range they provide between refueling, the ability to fast-fuel in about 10 or 15 minutes, and most importantly, their ability to compete on a cost-per-mile basis. Further north in the agriculture-heavy San Joaquin Valley, a dairy cow nutrient manufacturer and supplier has announced its plans to buy 30 new RNG-fuelled trucks. Western Milling’s new trucks will be fueled at compressed natural gas (CNG) stations using RNG, which SoCalGas said can reduce greenhouse gas emissions by as much as 80%.
RNG continues to be highlighted as an increasingly important part of America’s push toward clean energy sources and technology, one that will necessitate a balanced portfolio of low-carbon technologies to realize a clean energy future. Across the country, dairy farms, wastewater recovery facilities, landfills and other entities that process aggregated organic material are using methane capture and treating technologies to produce a sustainable energy resource that is displacing fossil fuel. Although RNG supply has increased by 291% over the last five years, consumer access to RNG is still in the early innings as gas utility procurement and distribution of RNG starts to gain traction. RNG also provides significant opportunity to lower the carbon intensity of U.S. transportation fuel, because it is the lowest-carbon energy source available for use in both combustion- and electric-based transportation.
For the latest articles on the RNG sector, click on the links below!
Aug 21-28, 2020
Finnish city to welcome biogas-fuelled buses
Iowa researchers see wasted potential in agricultural biofuels
RNG trucks catching on in California
RNG’s growing role in decarbonization strategies
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