Xebec acquires UECompression to expand RNG, hydrogen footprint
The acquisition of UEC provides Xebec with a ‘cost-effective, timely’ pathway towards expanding production capacity five-fold for standardised renewable gas systems.
The move also optimises Xebec’s manufacturing footprint, bringing European gas generation products such as Hy.GEN to the US, and focuses UEC’s facility on containerised and skid-mounted renewable energy systems.
It also increases the Cleantech Service Network coverage by six states (Montana, Wyoming, Colorado, North & South Dakota, and Nebraska) to meet the increasing need for local service and support as the demand for standardised RNG and hydrogen systems accelerates.
Xebec expects that with limited changes to operations, it can use UEC’s excess capacity to produce around 150-190 containerised BGX Biostream biogas upgrading and Hy.GEN hydrogen units per year in North America.
“UEC helps Xebec solidify its position as a leading renewable gas player by adding a 100,000 square foot manufacturing facility in the US,” said Kurt Sorschak, chairman, president and CEO of Xebec Adsorption.
“With this acquisition, we are responding to the accelerating energy transition and the associated interest in containerised RNG and hydrogen systems. Furthermore, UEC’s existing compression expertise in hydrogen will become increasingly relevant as the hydrogen economy develops.
“The acquisition will also help us in fully complying with current and evolving needs for local sourcing.”
According to the US Department of Agriculture and National Pork Producers Council, there are approximately 92,000 active dairy and hog farms in the US. The American Biogas Council estimates that around 8,574 of these farms are primed for biogas and RNG production with more than 98 farms already producing RNG for the local transport market.
Xebec is focused on serving animal manure-based projects because of their ability to reduce emissions from agriculture, support local communities and recycle nutrients. Biostream is well-positioned as a market-leading solution for animal livestock operations as showcased with orders from top US dairy developers, which include an initial 18-unit order from the Brightmark and Chevron RNG partnership.