We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
BP, Clean Energy Ink Deal to Extend Cooperation on RNG Supply
Read MoreHide Full Article
Taking advantage of the growing demand from fleets for clean energy, BP plc (BP - Free Report) and Clean Energy Fuels Corp (CLNE - Free Report) have inked an agreement. The move will boost supply of renewable natural gas (RNG) through Clean Energy Fuels’ widespread fueling infrastructure.
Over the next several years, the supply of RNG is expected to increase, as numerous RNG production facilities are under construction and many other projects have been announced. These developments will position BP to transport larger volumes to Clean Energy stations. Consecutively, Clean Energy will split the additional environmental credit revenues generated from the incremental RNG volume.
The increasing awareness to reduce emissions has propelled companies to use cleaner fuel or alternative sources of energy. RNG fuel, or biomethane, is being used increasingly in natural gas vehicles that include heavy-duty trucks. RNG fuel is expected to reduce greenhouse gas emissions by 70% compared with gasoline or diesel fuel vehicles. This makes it the cleanest fuel available and is produced completely from organic waste.
Clean Energy RNG brand Redeem™, which was first available in 2014, sold 22 million gasoline equivalent gallons (GGEs). The sales have surged more than 350% in 2018 to an estimated 100 million GGEs.
Redeem™ renewable natural gas is produced from biogenic methane, biomethane or biogas. It is a form of methane that is naturally generated by the decomposition of organic waste. The gas is processed, purified and transported to the interstate natural gas pipeline. Currently, this fuel is made available solely to Clean Energy customers.
The latest agreement emphasizes BP’s commitment to support the shift to a lower-carbon energy future. In April 2018, the company announced intentions to maintain a steady emission of carbon without compromising production growth and focus more on clean energy, following consistent requests from investors.
Producing higher natural gas and restricting methane leakage is likely to help the integrated energy major lower carbon dioxide emission through 2025 by roughly 3.5 million tons. To focus more on the production of cleaner energy, BP is planning to allocate roughly $500 million annually toward solar and wind plants to generate renewable energy.
Price Performance
In the past year, BP’s shares have gained 13.1% compared with the industry’s 9.2% rally.
Zacks Rank & Other Stocks to Consider
BP currently carries a Zacks Rank #2 (Buy).
A few other top-ranked players in the same sector are Petroleo Brasileiro S.A. (PBR - Free Report) or Petrobras SA and Shell Midstream Partners, L.P . All these stocks flaunt a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Petrobras is the largest integrated energy firm in Brazil and one of the major players in Latin America. It pulled off an average positive earnings surprise of 10.4% in the last four quarters.
Shell Midstream Partners is involved in owning, operating, developing and acquiring pipelines and other midstream assets. The partnership delivered an average positive earnings surprise of 7.9% in the trailing four quarters.
The Hottest Tech Mega-Trend of All
Last year, it generated $8 billion in global revenues. By 2020, it's predicted to blast through the roof to $47 billion. Famed investor Mark Cuban says it will produce "the world's first trillionaires," but that should still leave plenty of money for regular investors who make the right trades early.
Image: Bigstock
BP, Clean Energy Ink Deal to Extend Cooperation on RNG Supply
Taking advantage of the growing demand from fleets for clean energy, BP plc (BP - Free Report) and Clean Energy Fuels Corp (CLNE - Free Report) have inked an agreement. The move will boost supply of renewable natural gas (RNG) through Clean Energy Fuels’ widespread fueling infrastructure.
Over the next several years, the supply of RNG is expected to increase, as numerous RNG production facilities are under construction and many other projects have been announced. These developments will position BP to transport larger volumes to Clean Energy stations. Consecutively, Clean Energy will split the additional environmental credit revenues generated from the incremental RNG volume.
The increasing awareness to reduce emissions has propelled companies to use cleaner fuel or alternative sources of energy. RNG fuel, or biomethane, is being used increasingly in natural gas vehicles that include heavy-duty trucks. RNG fuel is expected to reduce greenhouse gas emissions by 70% compared with gasoline or diesel fuel vehicles. This makes it the cleanest fuel available and is produced completely from organic waste.
Clean Energy RNG brand Redeem™, which was first available in 2014, sold 22 million gasoline equivalent gallons (GGEs). The sales have surged more than 350% in 2018 to an estimated 100 million GGEs.
Redeem™ renewable natural gas is produced from biogenic methane, biomethane or biogas. It is a form of methane that is naturally generated by the decomposition of organic waste. The gas is processed, purified and transported to the interstate natural gas pipeline. Currently, this fuel is made available solely to Clean Energy customers.
The latest agreement emphasizes BP’s commitment to support the shift to a lower-carbon energy future. In April 2018, the company announced intentions to maintain a steady emission of carbon without compromising production growth and focus more on clean energy, following consistent requests from investors.
Producing higher natural gas and restricting methane leakage is likely to help the integrated energy major lower carbon dioxide emission through 2025 by roughly 3.5 million tons. To focus more on the production of cleaner energy, BP is planning to allocate roughly $500 million annually toward solar and wind plants to generate renewable energy.
Price Performance
In the past year, BP’s shares have gained 13.1% compared with the industry’s 9.2% rally.
Zacks Rank & Other Stocks to Consider
BP currently carries a Zacks Rank #2 (Buy).
A few other top-ranked players in the same sector are Petroleo Brasileiro S.A. (PBR - Free Report) or Petrobras SA and Shell Midstream Partners, L.P . All these stocks flaunt a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Petrobras is the largest integrated energy firm in Brazil and one of the major players in Latin America. It pulled off an average positive earnings surprise of 10.4% in the last four quarters.
Shell Midstream Partners is involved in owning, operating, developing and acquiring pipelines and other midstream assets. The partnership delivered an average positive earnings surprise of 7.9% in the trailing four quarters.
The Hottest Tech Mega-Trend of All
Last year, it generated $8 billion in global revenues. By 2020, it's predicted to blast through the roof to $47 billion. Famed investor Mark Cuban says it will produce "the world's first trillionaires," but that should still leave plenty of money for regular investors who make the right trades early.
See Zacks' 3 Best Stocks to Play This Trend >>