BP plc is extending a renewable natural gas (RNG) venture with Clean Energy Fuels Corp. to finance and develop more projects on dairy farms in Iowa and South Dakota.

The dairy farms, with more than 30,000 cows combined, have the potential to convert methane produced from waste into more than 7 million gallons/year of RNG. The first RNG production facility is expected to be operational next year. 

BP and Clean Energy Fuels clinched the initial RNG dispensing agreement in August.  

“These collaborations are critical steps toward our ambition of helping the world reach net zero by 2050 or sooner,” said BP’s Sean Reavis, who oversees Biogas Origination. “Our biogas strategy is focused on growth and developing an integrated business model that allows us to deliver the...