When Clean Energy Fuels Corp. of Newport Beach looks to the future, it thinks big, very big.
The company is fresh off a large round of new and extended agreements for its “Redeem” renewable natural gas, including deals with Santa Monica’s bus system, transportation around Los Angeles International Airport, and the ports of Los Angeles and Long Beach.
That still leaves the company (Nasdaq: CLNE) with a market capitalization of about $445 million, a number that Clean Energy Vice President Chad Lindholm said could grow “fivefold,” reaching $2 billion, within the next three to five years with various projects in the pipeline and environmental issues in play.
“We see a whole lot of exciting growth happening within the renewable gas space,” Lindholm told the Business Journal on Sept. 5.
“It’s readily available today, which is something that we’re very proud of.”
100M Gallons Last Quarter
As a vehicle fuel, Redeem enables an at least 70% reduction in carbon emissions when displacing diesel or gasoline, Clean Energy said. Â
“The renewable gas space is really where we’re going, and that’s the evolving piece of the industry that’s the game changer for us,” Lindholm said.
The company reported last month that it delivered 99.6 million gallons of fuel for the three months ended June 30, an 11.4% increase over the same period a year ago.
Lindholm said the company is also on target to deliver in excess of 160 million gallons of renewable natural gas to serve customers through its network of stations this year.
Revenue was $72.3 million in the second quarter, up from $70.5 million last year, Clean Energy said.
Redeem became commercially available in 2013 and is derived from capturing biogenic methane that is naturally created by the decomposition of dairy, landfill, and wastewater treatment plant waste, the company said.
200 LA Buses
Santa Monica’s “The Big Blue Bus” system extended its contract with Clean Energy with an anticipated 2.3 million gallons of Redeem per year to fuel its 200 municipal buses.
“We’re proud to continue our partnership with Big Blue Bus and share its commitment to sustainability. Their natural gas buses are providing healthier air for people in and around Santa Monica and the use of Redeem is significantly reducing greenhouse gas and long-term climate change issues,” said Lindholm.
Contracts also include ABM Aviation’s fleet of vehicles that have helped ease congestion and move travelers at LAX during its massive remodeling project.
Fleets in the Ports of  Los Angeles and Long Beach, the largest port complex in America, are taking delivery of 102 new near-zero trucks fueled by Redeem, Clean Energy said. Â
The company’s shares have gained about 23% this year and were trading as high as $2.22 apiece earlier this month.
