TotalEnergies, in collaboration with BlackRock-managed fund portfolio company Vanguard Renewables, has announced a groundbreaking agreement to establish a 50/50 joint venture aimed at developing, constructing, and operating on-farm biomethane projects across the United States, underscoring a shared commitment to advancing sustainable energy solutions.
The partnership is poised to spearhead the development of ten biomethane projects, boasting a combined annual capacity of 0.8 terawatt-hours (TWh), with construction slated to commence within the next 12 months.
Among these projects, the first three, each with a capacity of nearly 75 gigawatt-hours (GWh) per year, have already embarked on the construction phase in Wisconsin and Virginia, marking a significant stride forward in bolstering the nation's renewable energy infrastructure.
In addition to the initial ten projects, TotalEnergies and Vanguard Renewables plan to co-invest in a pipeline of approximately sixty potential projects nationwide, with a collective capacity of 5 TWh per year, further solidifying their commitment to driving the transition towards sustainable energy sources.
Olivier Guerrini, Senior Vice President of Biogas at TotalEnergies, expressed enthusiasm for the partnership, stating, “We are delighted to partner with BlackRock and its company Vanguard Renewables to accelerate the production of biomethane from food and beverage waste in the United States.” Guerrini highlighted the joint venture's potential to unlock value for both companies while offering a viable decarbonization solution for industrial players seeking to mitigate their emissions.
Guerrini emphasized that the partnership aligns with TotalEnergies' ambitious target of producing 10 TWh of biomethane by 2030, underscoring the company's steadfast commitment to advancing renewable energy initiatives.
Based near Boston, Massachusetts, Vanguard Renewables operates seventeen biomethane production units from organic waste, with a cumulative capacity exceeding 440 GWh. The company aims to commission over one hundred facilities by the end of 2028.
Neil H. Smith, Chief Executive of Vanguard Renewables, lauded the partnership with TotalEnergies, highlighting its potential to accelerate the development of anaerobic digestion projects in the United States. Smith emphasized Vanguard Renewables' commitment to leveraging waste for the decarbonization of the planet, positioning the company as a leader in biomethane production in the US.
