September 30, 2026. California Bioenergy LLC (CalBio) completed its acquisition last month of Sevana Bioenergy’s interest in South Dakota Biogas LLC, a joint venture previously held by the two companies. South Dakota Biogas LLC and UGI Energy Services (UGIES) hold ownership interests in MBL Bioenergy, a joint venture partnership formed to develop and operate eight dairy renewable natural gas (RNG) projects in South Dakota, with the potential for additional future development in the state.
Furthermore, CalBio has acquired sole ownership of SD OpCo LLC, the entity that operates the digester projects. This acquisition strengthens CalBio’s project portfolio and underscores its continued commitment to partnering with dairy farmers to advance effective methane capture.
The South Dakota projects comprise three clusters:
- Moody Cluster: Three dairies located near Dell Rapids, each sending conditioned biogas via gathering pipeline to a centralized upgrader and Northern Natural Gas interconnect.
- Brookings Cluster: Three dairies located near Estelline, each sending conditioned biogas via gathering pipeline to a centralized upgrader and NorthWestern Energy interconnect.
- Lakeside Cluster: Two dairies located near Summit that transport conditioned and upgraded biogas via high-compression tube trailers (“virtual pipeline”) to a NorthWestern Energy interconnect.
At each site, dairy waste is collected and processed in a continuously stirred tank reactor (CSTR) digester, where microorganisms break down the waste to produce methane-rich biogas. The biogas is then conditioned and upgraded into RNG.
Combined, the three clusters are producing approximately 2,000,000 standard cubic feet of renewable compressed natural gas (R-CNG) per day, equivalent to approximately 15,000 gasoline gallon equivalents (GGEs) of vehicle-ready fuel, or approximately 5,500,000 GGEs annually.
“CalBio is pleased to announce the growth of our participation in the South Dakota dairy digester projects,” said N. Ross Buckenham, Chairman and CEO of CalBio. “We look forward to expanding our role in these projects, continuing our partnership with UGI Energy Services, and supporting the local dairy farmers who make this domestic renewable energy production possible.”