Vitol to acquire minority equity stake in Waga Energy
Vitol will acquire a minority equity stake in Waga Energy, collaborating on landfill RNG projects.
The arrangement between Dutch energy and commodity trading company Vitol and Waga Energy, which specialises in RNG recovery from landfill waste, forms part of the equity sale associated with Waga Energy’s current IPO on Paris Euronext.
Two billion tonnes of waste are generated annually, 70% of which ends up in landfill. Over 20 years, landfill waste emits methane, a gas with a warming potential 84 times greater than CO2. Waga’s proprietary technology captures, treats and injects this waste gas into the grid.
Vitol is a significant investor in renewables, with over $1 billion (€862 million) capital committed to renewable power projects, including investments in biogas.
The two companies have also signed a binding memorandum of understanding concerning a strategic marketing arrangement. For the next five years, Vitol and Waga Energy will cooperate on all new projects in Europe. Vitol will get a right of first refusal on all future volumes and enter into a 10-year renewable gas purchase contract for these projects as they come online.
As part of the arrangement, Vitol will take the RNG to market via the pipeline grid and LNG, thereby replacing fossil fuel gas with gas generated from waste and reducing CO2 emissions from fossil fuels and methane releases from landfill.
“We are delighted and proud to build this strategic relationship with Waga, with a view to using by-products of waste,” said Pablo Galante Escobar, head of LNG and gas and power EMEA at Vitol.
“Waga’s proprietary technology enables waste landfill gas to be turned into high-quality biomethane that can be directly injected into the grid or used for transportation.
“Waga’s unique model contributes to net zero in two ways: it captures landfill gas, a major source of greenhouse gas emissions, and produces a renewable substitute for fossil-based natural gas. We look forward to deploying Vitol’s capital and market expertise to accelerate the implementation of this unique technology.”
The arrangement between Dutch energy and commodity trading company Vitol and Waga Energy, which specialises in RNG recovery from landfill waste, forms part of the equity sale associated with Waga Energy’s current IPO on Paris Euronext.
Two billion tonnes of waste are generated annually, 70% of which ends up in landfill. Over 20 years, landfill waste emits methane, a gas with a warming potential 84 times greater than CO2. Waga’s proprietary technology captures, treats and injects this waste gas into the grid.
Vitol is a significant investor in renewables, with over $1 billion (€862 million) capital committed to renewable power projects, including investments in biogas.
The two companies have also signed a binding memorandum of understanding concerning a strategic marketing arrangement. For the next five years, Vitol and Waga Energy will cooperate on all new projects in Europe. Vitol will get a right of first refusal on all future volumes and enter into a 10-year renewable gas purchase contract for these projects as they come online.
As part of the arrangement, Vitol will take the RNG to market via the pipeline grid and LNG, thereby replacing fossil fuel gas with gas generated from waste and reducing CO2 emissions from fossil fuels and methane releases from landfill.
“We are delighted and proud to build this strategic relationship with Waga, with a view to using by-products of waste,” said Pablo Galante Escobar, head of LNG and gas and power EMEA at Vitol.
“Waga’s proprietary technology enables waste landfill gas to be turned into high-quality biomethane that can be directly injected into the grid or used for transportation.
“Waga’s unique model contributes to net zero in two ways: it captures landfill gas, a major source of greenhouse gas emissions, and produces a renewable substitute for fossil-based natural gas. We look forward to deploying Vitol’s capital and market expertise to accelerate the implementation of this unique technology.”
