The expanding network of fueling stations
represents a significant diesel displacement opportunity by
providing a reliable source of compressed natural gas (CNG) for
long-haul trucks and other fleets.
CALGARY,
AB, Oct. 22, 2024 /CNW/ - Tourmaline Oil Corp.
(TSX: TOU) ("Tourmaline") and Clean Energy Fuels Corp. (NASDAQ:
CLNE) ("Clean Energy") announced today the opening of two new
compressed natural gas (CNG) fueling stations in Alberta, marking a key milestone in their
continuing efforts to build Western
Canada's first commercial-grade public CNG fueling network.
The new locations in Calgary and
Grande Prairie, along with the
Edmonton station which opened in April
2023, establish a crucial transportation corridor for
trucking companies converting their fleets from diesel to CNG.
Powering long-haul trucks and other fleets with CNG results in
lower emissions of carbon dioxide, nitrogen oxides, sulphur dioxide
and particulate matter compared to traditional diesel-powered
vehicles.
"We are expanding our multi-year diesel displacement initiative
by making CNG more readily available to heavy-duty trucking
companies," said Michael Rose,
Chairman, President and CEO, Tourmaline. "Right here in
Alberta, we have the technology,
an abundance of natural gas, and now the infrastructure to help
facilitate a transformative shift in the transportation
sector."
The $70 million Joint Development
Agreement between Tourmaline and Clean Energy was announced in
April 2023, along with their
commitment to build up to 20 CNG fueling stations across
Western Canada in the next five
years. In just over a year, their customer base has grown to nine
market-leading companies that have already collectively displaced
two million litres of diesel by utilizing CNG technology.
"The adoption of CNG has continued to accelerate over the last
year, as more companies recognize the benefits of displacing diesel
with a reliable fuel that is easy to use and extremely cost
competitive for fleets," said Andrew
Littlefair, President and CEO, Clean Energy. "The
development of this critical infrastructure is perfectly timed as
the important new X15N natural gas engine from Cummins is being
introduced to the trucking industry to rave reviews. We expect that
the combination of more fueling locations and the new engine
technology, which is perfectly suited for the Canadian market, will
pave the way for continued growth of CNG."
Cummins, one of the world's leading engine manufacturers, has
recently introduced its X15N natural gas engine into the Canadian
and U.S. heavy-duty truck market. Trucks with pre-production models
of the X15N were tested by some of the most demanding fleets over
the last year including Walmart, Werner, Knight Swift, FedEx
Freight and UPS. It was found to deliver diesel-like ratings as
well as durability and reliability to allow fleets to significantly
reduce emissions of carbon dioxide, nitrogen oxides, sulphur
dioxide and particulate matter without sacrificing capability.
Mullen Group Ltd., (Mullen Group), the first company to support
the Tourmaline and Clean Energy initiative, plans to leverage the
new X15N engine as it prepares to nearly double its fleet of
CNG-fueled trucks.
"As one of North America's largest logistics
providers, the Mullen Group is committed to being a leader in
sustainability. Today we operate one of the largest CNG-powered
truck fleets in the Province of Alberta, now having 19 fully operational, with
plans to deploy another 15 units as soon as they become available.
Our CNG fleet continues to perform well, and now with the opening
of these additional fueling stations, we can position the CNG units
in additional markets, providing an ESG alternative to a broader
scope of customers," said Murray
Mullen, Chair, SEO and President, Mullen Group.
"Western Canada's first natural
gas highway is taking shape right here in Alberta, driven by the innovative efforts of
Tourmaline and Clean Energy," said Alberta Premier Danielle Smith. "This collaboration showcases
how industry-led initiatives can drive more efficient
transportation solutions. Alberta
is proud to support forward-thinking projects that will help create
a more sustainable future for long-haul trucking across
Canada."
Once complete, the 20-station network could fuel up to 3,000
natural gas-powered trucks daily. Construction on the next CNG
fueling station is set to begin in Kamloops, B.C., with Fort McMurray and Fort St. John to follow. The CNG stations are
also equipped with the same infrastructure needed for renewable
natural gas (RNG), making for a streamlined transformation when RNG
becomes more readily available in Canada.
Visit our media kit for images, b-roll,
fact sheets and videos of support from Alberta Premier Danielle Smith and Alberta Energy and Mining
Minister Brian Jean.
Additional quotes:
"Having access to commercially available, compressed natural gas
fueling is important to our industry and with the continued
addition of accessible fueling infrastructure, we can continue to
adopt natural gas fueling options across the region. At GFL, we
have long recognized the benefits of utilizing this technology in
our own operation and will now have the ability to replace more
diesel with CNG in additional markets as infrastructure comes
online."
- Tyler Stefure, Fleet
Director for Western Canada, GFL
Environmental
"As a strategic supply chain partner, with more than 850
alternative-fuel vehicles globally, Martin
Brower is continuing to expand our fleet of CNG-powered
vehicles across Canada. Working
with partners, such as Tourmaline and Clean Energy, is critical to
our success in delivering on our commitment to reduce our scope 1
and 2 greenhouse gas emissions by over 50 per cent by 2030 and
create a more sustainable future."
- Amy Senter, Global Vice
President of Sustainability, Martin
Brower
About Tourmaline Oil Corp.
Tourmaline is Canada's largest
and most active natural gas producer dedicated to producing the
lowest-cost natural gas in North
America. The investment-grade exploration and production
company provides strong and predictable operating and financial
performance through the development of three core areas in the
Western Canadian Sedimentary Basin. With an existing large reserve
base, decades-long drilling inventory, relentless focus on
execution and cost management, and industry-leading environmental
performance, Tourmaline is excited to provide shareholders with an
excellent return on capital and an attractive source of income
through base dividend and surplus-free cash flow distribution
strategies. Visit http://www.tourmalineoil.com/ and follow
@tourmalineoilcorp on LinkedIn and Facebook and @tourmalineoil on
X.
About Clean Energy Fuels Corp.
Clean Energy Fuels Corp. is North
America's largest provider of the cleanest fuel for the
transportation market. Our mission is to reduce emissions in the
transportation industry through the development and delivery of
renewable natural gas (RNG), a sustainable fuel derived from
organic waste. Clean Energy allows thousands of vehicles, from
airport shuttles to city buses to waste and heavy-duty trucks, to
reduce their amount of climate-harming greenhouse gas. We operate a
vast network of fueling stations across the U.S. and Canada. Visit www.cleanenergyfuels.com and
follow @ce_renewables on X.
Reader Advisories
Currency
All amounts in this joint news release are stated in Canadian
dollars unless otherwise specified.
Forward-Looking Information
This joint news release contains forward-looking information and
statements (collectively, "forward-looking information") within the
meaning of applicable securities laws including Section 27A of the
Securities Act of 1933 and Section 21E of the Securities Exchange
Act of 1934 that involve risks, uncertainties and assumptions,
including without limitation information and statements about: the
benefits of the joint development agreement including that the
investment pursuant to the agreement will result in Western Canada's first commercial-grade public
CNG fueling network and establish a crucial transportation corridor
for trucking companies converting their fleets from diesel to CNG;
the number of CNG stations proposed to be constructed and the
number of natural gas-powered trucks that could be fueled by such
stations, the timeframe for such construction and the anticipated
investment pursuant to the joint development agreement; the
expectation that Mullen Group will use the network of stations to
fuel its growing fleet of CNG-powered trucks; the expectations that
the CNG stations will pave the way for RNG availability in the
future; the timing and location for the next CNG stations that
Tourmaline and Clean Energy expect to open; and the other benefits
of CNG and CNG stations generally. Actual results and the timing of
events could differ materially from those anticipated in the
forward-looking information.
The forward-looking information made herein speak only as of the
date of this joint press release and, unless otherwise required by
law, neither Tourmaline nor Clean Energy undertakes any obligation
to publicly update such forward-looking information to reflect
subsequent events or circumstances. Additional information on these
and other factors that could affect Tourmaline, or its operations
or financial results, are included in Tourmaline's most recently
filed Management's Discussion and Analysis (See "Forward-Looking
Statements" therein), Annual Information Form (See "Risk Factors"
and "Forward-Looking Statements" therein) and other reports on file
with applicable securities regulatory authorities and may be
accessed through the SEDAR+ website (www.sedarplus.ca) or
Tourmaline's website (www.tourmalineoil.com). Additionally, the
reports and other documents Clean Energy files with the SEC
(available at www.sec.gov) contain risk factors, which may cause
actual results to differ materially from the forward-looking
information contained in this joint news release.
Market, Independent Third-Party and Industry
Data
Certain information contained in this joint news release
relating to environmental or statistical data including the cost
savings associated with fueling vehicles with CNG instead of retail
diesel prices and the CO2 reduction equivalents of removing
passenger vehicles from the road have been derived from market,
independent third-party and industry data and is based upon, or
derived from, information or estimates from government or other
independent industry publications and reports. Government and
industry publications and reports generally indicate that they have
obtained their information from sources believed to be reliable,
but neither Tourmaline nor Clean Energy has conducted its own
independent verification of such information or ascertained the
underlying assumptions relied upon by such sources. While
Tourmaline and Clean Energy believes this data to be reliable,
market and industry data is subject to variations and cannot be
verified with complete certainty due to limits on the availability
and reliability of raw data, the voluntary nature of the data
gathering process and other limitations and uncertainties inherent
in any statistical survey.
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SOURCE Tourmaline Oil Corp.
