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Anaergia Subsidiary to Build, Own and Operate Organic Waste-to-RNG Facility in Tønder, Denmark

To Be One of the Largest Anaerobic Digestion-to-RNG Plants in the World

BURLINGTON, Ontario, October 28, 2021 (BUSINESS WIRE)– Anaergia Inc. (“Anaergia” or the “Company”) (TSX: ANRG) acquired two Danish subsidiaries that will build, own and operate (“BOO”) a new anaerobic digestion facility in Tønder, Denmark. This new facility will take in agricultural waste and convert it to renewable natural gas (“RNG”).

Construction on the new facility is set to begin before the end of this calendar year and is expected to be completed within two years. RNG production is anticipated to begin prior to December 31, 2022, in order to qualify for the Danish Energy Agency’s subsidy program that promotes the production of biogas by providing a guaranteed minimum price. Under the terms of this program, biogas that is upgraded to renewable natural gas for injection into the gas grid receives a subsidy for a period of 20 years. Anaergia expects the facility to produce 1.4 million MMBTU per year of RNG, which would make it one of the largest such plants in the world. It would produce approximately 40% more RNG than that of the Company’s facility in Rialto, California.

This plant is expected to generate sufficient RNG to meet the needs of around 29,000 homes, while reducing the amount of carbon dioxide released into the environment by about 70,000 tonnes per year.

The total cost of this project is expected to exceed C$100 million. The Company anticipates the new venture will produce a positive internal rate of return in the low-double digits on an unlevered pre-tax basis.

“Owing to the initial public offering, we were in a position to expand Anaergia’s operations into Scandinavia earlier than expected. This project dovetails with Denmark’s aspirations to become one of the most climate-friendly countries in the world. Denmark has a climate law that aims to reduce greenhouse gas emissions by 70% below 1990 levels by 2030, with net zero emissions targeted for 2050, and this project will help Denmark achieve these objectives. Our investment in this BOO project underscores our commitment to creating new large-scale facilities that will make a positive difference in the environment around the world,” said Andrew Benedek, Anaergia’s Chairman and CEO.

Update on Potential Projects in Kent County, Michigan; and in Deeside, Wales, UK

At its meeting on October 7, the Board of the Kent County Department of Public Works formally approved starting negotiations for a US$280 million landfill waste diversion facility with Anaergia and partner Continuus Materials. In addition, the State of Michigan allocated US$4 million to Kent County to “assist infrastructure necessary to develop” this project. The facility is expected to be a world-leading recovery facility, achieving the County’s ambitious landfill diversion targets, while supporting its visionary sustainability goals, by recovering RNG, fertilizer, and high value products from the County’s solid waste. The investment by Anaergia and Continuus Materials, in this venture would also serve to improve the economy of western Michigan, creating new jobs needed to produce a range of valuable products from the large quantity of materials to be diverted from the County’s landfill.

This morning, EQTEC plc (EQTEC) announced that it secured a resolution from the Flintshire County (Wales, UK) Council’s Planning Committee to grant planning consent for an advanced gasification facility deploying EQTEC technology at its Deeside Refuse Derived Fuel project. This announcement also says that EQTEQ entered into a co-operation agreement with Anaergia to develop a proposal for the delivery of the multi-technology waste-to-energy project at Deeside. This project would include combining a 182,000 tonne waste reception and processing plant along with anaerobic digestion and EQTEC Advanced Gasification Technology.

About Anaergia

Anaergia was created to eliminate a major source of greenhouse gases (“GHGs”) by cost effectively turning organic waste into renewable natural gas (“RNG”), fertilizer and water, using proprietary technologies. With a proven track record from delivering world-leading projects on four continents, Anaergia is uniquely positioned to provide end-to-end solutions for extracting organics from waste, implementing high efficiency anaerobic digestion, upgrading biogas, producing fertilizer and cleaning water. Our customers are in the municipal solid waste, municipal wastewater, agriculture, and food processing industries. In each of these markets Anaergia has built many successful plants including some of the largest in the world. Anaergia owns and operates some of the plants it builds, and it also operates plants that are owned by its customers.

Forward-Looking Statements

This news release may contain forward-looking information within the meaning of applicable securities legislation, which reflects the Company’s current expectations regarding future events. Forward-looking information is based on a number of assumptions and is subject to a number of risks and uncertainties, many of which are beyond the Company’s control. Actual results could differ materially from those projected herein. Anaergia does not undertake any obligation to update such forward-looking information, whether as a result of new information, future events or otherwise, except as expressly required under applicable securities laws.

For further information please see: www.anaergia.com

For media relations please contact: Melissa Bailey, Director, Marketing & Corporate Communications, Melissa.Bailey@Anaergia.com 
For investor relations please contact: IR@Anaergia.com

Source: Anaergia Inc.

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