October 6, 2015
Fortistar has purchased two landfill gas to energy projects, adding 11 megawatts of waste-to-energy power to the company.
The company added Pioneer Energy, located in Birdsboro, Pa., which is an 8-megawatt project. The other acquisition is the 3-megawatt Port Charlotte Energy project, located in Punta Gorda, Fla., according to a news release.
White Plains, N.Y.-based Fortistar acquired both operations from Green Gas Americas. It followed the closing of $150 million in financing for Fortistar’s landfill gas portfolio.
Pioneer Energy sells power to Constellation Energy under a long-term off-take agreement. Port Charlotte Energy sells power to the Orlando Utilities Commission under a long-term contract.
Fortistar will own and operate both projects.
“Fortistar has developed, invested in and manages an unparalleled portfolio of successful landfill gas to energy initiatives in the U.S. and Canada,” said Mark Comora, Fortistar president.
The $150 million in financing provides reserves along with an accordion facility to facilitate growth through acquisitions, development and internal investment, the company said.
“By refinancing our LFG (landfill gas) portfolio, we can continue to make smart investments and build on our substantial experience owning and operating these types of important projects,” said Jonathan Maurer, Fortistar managing director.
Recent landfill gas-to-energy projects include Randolph Farms Inc. and Hoosier Energy partnering on the construction of a landfill gas to energy facility at the Randolph Farms Landfill near Modoc, Ind. Bloomington, Ind.-based Hoosier Energy will build the Cabin Creek 4-megawatt landfill gas operation with the Kalamazoo, Mich.-based Randolph Farms at its landfill in rural east-central Indiana.
The companies expect construction of the $12 million operation to begin in the fall of 2016, and power production to begin in early 2017.
Meanwhile, in August the U.S. Environmental Protection Agency (EPA) issued two proposals to reduce methane gas emissions from municipal solid waste (MSW) landfills.
Under the Washington-based agency’s new proposals, new, modified and existing landfills would begin collecting and controlling landfill gas at emission levels almost one-third lower than current requirements.
The EPA said the two proposals would cost an estimated $55 million in 2025.