Chevron Corp. announced joint venture agreements with Houston-based Mercuria Energy Trading, one of the world’s largest integrated energy and commodities companies, to own and operate American Natural Gas LLC (ANG) and its network of 60 compressed natural gas (CNG) stations across the United States.
Chevron is building a large-scale, vertically integrated renewable natural gas business in the United States, the company said in a recent news release. Through its partnerships with Brightmark and California Bioenergy, Chevron is developing projects to produce renewable natural gas from dairy digesters across the country.
Chevron said the creation of this joint venture will allow Chevron to rapidly grow its renewable natural gas value chain, complementing its previously announced plan to open more than 30 Chevron-branded CNG stations by 2025.
“Chevron is committed to producing a tenfold increase in renewable natural gas volumes by 2025 compared to 2020 as part of our higher returns, lower carbon strategy,” said Andy Walz, Chevron’s president of Americas Fuels & Lubricants. “This acquisition will advance our renewable natural gas business in support of customers who want to reduce their carbon footprint.”
“Mercuria is pleased to partner with Chevron and ANG founder Andrew West in growing ANG’s fueling network and continuing to provide a best-in-class decarbonization solution to the medium- and heavy-duty vehicle market,” said Mercuria's Chief Investment Officer Brian A. Falik. “Chevron’s excellent reputation of customer service, and their like-minded commitment to investment in the energy transition, make them the perfect partner to expand the ANG footprint.”
Additionally, during its recent Energy Transition Spotlight, Chevron Corporation announced plans to invest more capital to grow lower carbon energy businesses.
"Chevron intends to be a leader in advancing a lower carbon future,” said Michael Wirth, Chevron’s chairman and CEO. “Our planned actions target sectors of the economy that are harder to abate and leverage our capabilities, assets, and customer relationships.”
