In the United States (US), CIM Group, a community-focused real estate and infrastructure owner, operator, lender and developer, has announced that it has raised US$417 million from corporate and institutional investors for Terreva Renewables LLC, its recently formed renewable natural gas (RNG) platform, to advance the growth of this RNG platform.
CIM Group began investing in RNG in 2021 and formed Terreva Renewables in August 2022 to be a leading renewable natural gas (RNG) platform in North America.
Founded with the acquisition of 100 percent of the RNG development platform of MAS CanAm, LLC, an affiliate of MAS Energy, which included a portfolio of five in-construction and two in-development projects, CIM Group is building on Terreva’s recent successes, including several new RNG operations.
In the past year, Terreva has completed construction and is operating several RNG facilities, and is growing the company by tapping into the ever-increasing demand for RNG as a vital contributor to decarbonization efforts across transportation, utility, and industrial applications.
Terreva is delivering on our expectations for the platform and, alongside our co-investors, we are expanding Terreva to meet the increasing interest from communities across the country seeking its expertise to develop and operate RNG facilities, said Avi Shemesh, Co-Founder and Principal of CIM Group.
Partnering with landfills
CIM Group has observed strong regulatory support for RNG in transportation on a federal and state level and has also noted growing voluntary and regulatory demand from thermal end-users seeking to mitigate their carbon footprint.
According to CIM Group, Terreva Renewables currently has long-term contracts in place with natural gas utilities and is in discussions with a mix of high-quality transportation-related customers, investment-grade utilities, and other institutional offtakers.
Terreva’s growth strategy includes both partnering with public and private landfill owners to develop new RNG facilities and selectively acquiring other RNG projects or portfolios.
First Terreva facility completed
In January 2023, Terreva completed its first RNG facility in Appleton, Wisconsin (WI). Terreva has since commenced commercial operation on additional RNG facilities in Pennsylvania (PA), Illinois (IL), and Virginia (VA).
Each facility collects raw landfill gas (LFG) and converts it into RNG to be used predominantly by large vehicle fleets running on compressed natural gas (CNG).
During the first full year of operations of the four facilities, Terreva expects to provide the carbon dioxide equivalent (CO2eq) of displacing the use of more than 11.2 million (US) gallons (≈ 42.4 million litres) of gasoline.
