Biomethane firm ReFuels plans public listing

HGV renewable biomethane firm ReFuels has announced plans to publicly list at a value of £120 million. 

The company, which sells renewable biomethane sourced from food waste, is a low carbon alternative fuel to diesel, which cuts emissions by more than 90% and provides a lifetime fuel cost saving of up to 40%, it claims.

CNG Fuels, which operates under the ReFuels holding company, operates a UK-wide network of refuelling stations, supporting major brands including Amazon, Royal Mail, DHL, Aldi and Lidl to decarbonise its fleets.  

The IPO of the firm, which will take place on the Euronext Growth Oslo exchange, aims to help ReFuels attract the investment needed to meet demand by growing its network to 30-40 stations in the UK by 2025 – capable of serving the daily needs of 20,000 HGVs.

Long term, it aims to grow to more than 100 large stations, it said, and expand into other European markets, as well as including hydrogen and electricity as part of a full-service infrastructure offering for green refuelling of HGVs. 

ReFuels is “engaged across the entire bio-CNG value chain”, it said, including biomethane sourcing and trading of Renewable Transport Fuel Certificates (RTFC), which provides additional revenue streams.

Speaking about the news, Philip Fjeld, CEO and cofounder of ReFuels, said: “Biomethane is the fast-track option for enabling net-zero trucking, and the market is driven by a strong European governmental push to decrease transport related greenhouse gas emissions. ReFuels is one of Europe’s leading integrated suppliers of alternative fuels for commercial fleets and being admitted to trading is an important enabler for our future growth.

“Our network of stations and proximity to major fleet operators enable us to rapidly expand our station footprint and adapt to a low-carbon multi-fuel future offering, initially based on biomethane, and later including hydrogen and electricity.”

According to Element Energy, CNG HGV could reach 30% of heavy goods vehicles by 2030, equalling up to 89,000 vehicles operating in the UK. In such a scenario, there would be a requirement for up to 170 high-capacity public access biomethane refuelling stations, such as those developed by CNG Fuels which have the ability to refuel more than 500 HGVs per day.

Image courtesy of CNG Fuels

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