HOUSTON, Aug 19, 2019 (GLOBE NEWSWIRE via COMTEX) --
HOUSTON, Aug. 19, 2019 (GLOBE NEWSWIRE) -- Certarus Ltd. ("Certarus" or the "Corporation") is pleased to announce that it has entered into a flare gas capture and compressed natural gas supply agreement with a Multi-National American Energy Supermajor ("Supermajor") to service its electric hydraulic fracturing operations in the Delaware and Midland basins.
This is the first Permian Basin contract that Certarus has entered into for the sourcing of compressed natural gas ("CNG") through flare gas capture. By capturing flare gas, Certarus will provide a regional supply of clean, cost effective energy to help support corporate Environmental, Social and Governance ("ESG") best practices.
"We are seeing an increasing trend within completions to use electric hydraulic fracturing as a means of reducing carbon emissions and achieving cost savings. Certarus operates the largest bulk CNG trailer fleet in North America and is well positioned to benefit from this trend. By sourcing CNG through flare gas capture, Certarus provides industry with even more options to reduce carbon emissions," said Nathan Ough, Vice President of Certarus.
Based on this strategic agreement, Certarus will displace a minimum of 5,500,000 gallons (20,000,000 Liters) of diesel fuel with clean burning CNG with the option for the Supermajor to expand up to 37,800,000 gallons (143,000,000 Liters) during the term.
The Corporation has invested significant resources to build-out a reliable compressed natural gas platform to supply both dual fuel and electric hydraulic fracturing operations. Energy companies across North America, including Exxon (via its XTO subsidiary), Diamondback, Shell, EOG Resources, Devon, CNX Resources, and Apache have entered into contracts for electric hydraulic fleets, in some cases with terms up to four years.
Certarus expects to commence CNG supply to Supermajor in Q4 2019 in parallel with a larger audience of end users converting to compressed natural gas.
Certarus is a leader in providing a fully integrated compressed natural gas (CNG) solution for the North American market. Our primary business is the creation of a "Virtual Natural Gas Pipeline" through the compression, transportation and integration of CNG for the energy services, mining, forestry and industrial sectors. Our solutions target diesel and propane fuel displacement projects to lower operating costs and improve environmental outcomes.
Certarus is focused on providing cost effective carbon reduction solutions by utilizing abundant low cost North American natural gas.
For more information, please visit www.certarus.com
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Certain information contained in this document constitutes forward-looking statements. By their nature, forward-looking statements are subject to numerous risks and uncertainties, some of which are beyond the Corporation's control including the impact of general economic conditions, industry conditions, volatility of commodity prices, currency fluctuations, environmental risks, competition from other industry participants, the lack of availability of qualified service providers, personnel or management and ability to access sufficient capital from internal and external sources, the inability to obtain required consents, permits or approvals and the risk that actual results will vary from the results forecasted and such variations may be material. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements. The Corporation's actual results, performance or achievement could differ materially from those expressed in or implied by, these forward-looking statements and, accordingly, no assurance can be given that any of the events anticipated by the forward-looking statements will transpire or occur, or if any of them do so, what benefits the Corporation will derive therefrom.
The forward-looking statements contained in this document are made as of the date hereof. Certarus disclaims any intention and assumes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law. Additionally, Certarus undertakes no obligation to comment on the expectations of, or statements made by, third parties in respect of the matters discussed above.
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