BP plc subsidiaries are set to expand their renewable natural gas (RNG) resources in a deal with a Gevo Inc. Iowa facility now under construction

BP Canada Energy Marketing Corp. and BP Products North America Inc. would buy the RNG, produced from dairy farm cow manure, from Gevo NW Iowa RNG LLC. Earlier this month BP and Gevo agreed to the sale from the Iowa facility, which is set for completion early next year.

Using feedstock from three dairy farms, the facility is to be capable of producing roughly 355,000 MMBtu/year of RNG, according to Gevo. 

“RNG is proving to be a key fuel in the energy transition,” Gevo CEO Patrick Gruber said. “BP has a value chain that allows RNG to reach the transportation market, and it’s a pleasure to work with a company that shares our...