MNTK - Montauk Renewables signs LOI to provide CO2 for Texas e-methanol project

2023-08-07 08:59:13 ET

Montauk Renewables ( NASDAQ: MNTK ) said Monday it signed a letter of intent with the North American subsidiary of European Energy to deliver all biogenic carbon dioxide volumes from its Texas facilities sufficient for large scale production of e-fuels such as e-methanol.

Montauk ( MNTK ) said the LOI commits CO2 from its Texas facilities to EE North America's planned Power-to-X facility in Texas that would take the biogenic CO2 and use it in the production of e-methanol, which would then be used to fuel vessels for maritime shipping operations.

Montauk ( MNTK ) said the planned delivery would prevent a critical amount of biogenic CO2 from entering the atmosphere and put it to beneficial use, creating a new fixed-price commodity revenue stream; delivery expected to begin in 2026 and last for 15 years upon final agreement.

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