Xebec receives another significant order in Italy

   Xebec Adsorption Inc., a global provider of renewable gas solutions has signed a CDN$6+ million contract for a landfill biogas upgrading plant in Italy, to be delivered in late 2019. Fully operational, it will produce ~5 million m3 of carbon neutral Renewable Natural Gas (RNG) annually, replacing the equivalent of approx. 5 million liters of diesel fuel.

   Similar RNG projects are developing throughout the EU, driven by both environmental regulations and government incentives. The Italian Government recently set aside Euro 4.7 billion (CDN$7.4 billion) in incentives to aid large gas consumers as well as incentives for biomethane in transport. Since then, Italy’s gas operator, SNAM, has received more than 800 requests from potential biomethane producers to connect their upcoming biomethane production sites to the existing gas grid, indicating a market size for biogas upgrading equipment in excess of CDN$ 1.5 billion over the next 3 to 5 years.

   The Landfill Gas-to-Energy market is undergoing a fundamental change, in as far as Landfill Gas-to-Electricity projects are today financially challenging. Solar and wind power projects offer electricity rates as low as 0.05 euros per kwh, a rate Landfill Gas-to-Electricity projects can no longer compete with. Consequently, more and more waste companies and developers are looking toward Landfill Gas-to-Fuels, especially to RNG as a low carbon fuel alternative with a much better value proposition than electricity and a significantly higher return on investment (ROI).