Pennsylvania-based natural gas and electric utility UGI Utilities Inc. plans to buy 331,785 MMBtu/year of renewable natural gas (RNG) sourced from an in-state Archaea Energy Inc. facility under a sales and purchase agreement.

archaea rng facility

“This is our second term agreement signed with a U.S. utility, and we are excited to be expanding our partnerships with entities across new geographies that are supportive of RNG and its decarbonization impacts,” said Archaea co-founder Brian McCarthy.

The deal provides UGI with RNG from Archaea’s Assai RNG facility, located at a Dunmore, PA landfill, for a fixed fee over a five-year span, said Archaea. The major U.S. RNG producer added that deliveries under the agreement began on July 1.

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