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Construction under way on largest dairy biogas project in North America

SustainableBusiness.com News Published on 25 May 2011
Camco International Limited (CAO.L), a developer of clean energy projects, has begun construction on the largest dairy biogas project in North America.

The project, which will be operated by the consortium AgPower Group LLC, involves the installation of anaerobic digesters to convert cow manure at an Idaho dairy farm into enough biogas to fuel 4.5 megawatts (MW) of generation capacity.

Construction of the project is expected to cost under $25 million, and it has been fully financed, according to Camco.

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The project qualifies for the federal grant program established by the American Recovery and Reinvestment Act of 2009, under which 30 percent of eligible construction costs are reimbursed.

A 20-year power purchase agreement is in place and the facility also has multi-year contracts for the Sale of sterilized fiber (an end-product of the anaerobic digestion process). The renewable energy certificates and emission credits qualify under California's new renewable energy and greenhouse gas regulations.

Completion of construction is anticipated in the first half of 2012.

"Closing financing and commencing construction on the largest dairy biogas project in the US is a major achievement for the Camco North America team. The USDA target has outlined potential to roll out anaerobic digesters across 8,000 farms with potential generation of over 1,500 MW in the US and we are in a pole position to lead this effort," Yariv Cohen, Camco President says.

—From SustainableBusiness.com

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