EverGen Infrastructure Corp (TSX-V:EVGN) revealed that it had kicked off construction at the company's core renewable natural gas (RNG) expansion project at Fraser Valley Biogas (FVB) in the city of Abbotsford, British Columbia.
Headquartered on the west coast of Canada, EverGen, an established independent renewable energy producer, noted that Fraser Valley Biogas has been in operation since 2011 and is the original producing RNG project in Western Canada to supply FortisBC's network.
The facility combines anaerobic digestion and biogas upgrading to produce RNG, primarily by converting agricultural waste from local dairy farms. Once the FVB Core RNG expansion project is complete, new RNG production volumes are expected to double the capacity of the facility to produce around 160,000 gigajoules (GJ) of RNG per year, according to EverGen.
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The FVB RNG expansion project broke ground during the third quarter of 2022, with the initial construction focused on an additional anaerobic digestor and improvements to the existing feedstock processing system designed to increase the facility’s production capacity.
EverGen said it expects the expansion project will be completed in the first quarter of 2023, at which time the facility will ramp-up RNG production.
"We are proud of what our team has been able to achieve at FVB to date and pleased to see the project advancing on schedule and on budget," EverGen CEO Chase Edgelow said in a statement.
"All major mechanical equipment is on track for delivery and costs are within our C$13 million to C$15 million capital budget. These developments, coupled with the execution of a new long-term offtake agreement in a significantly stronger RNG market, will provide a substantial lift to our revenues and earnings before interest, taxes, depreciation, and amortization (EBITDA)," he added.
RSU Grant
Meanwhile, EverGen said that on October 5, 2022, it granted 20,000 restricted share units (RSUs) to an officer of the company in line with the company’s equity plan.
EverGen is an independent renewable energy producer which acquires, develops, builds, owns, and operates a portfolio of renewable natural gas, waste-to-energy, and related infrastructure projects.
Contact the author Uttara Choudhury at uttara@proactiveinvestors.com
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