NEWPORT BEACH, CALIF. – March 25, 2015 – Clean Energy Fuels Corp (NASDAQ: CLNE) today, announced an agreement with Dean Foods (NYSE: DF), one of the nations’ leading food and beverage companies, to construct a compressed natural gas (CNG) station at its Oak Farms Dairy plant in Houston, Texas. Beginning in the second half of 2015, the station will be used to fuel the CNG vehicles deployed by Dean Foods.
Over the next several months, Dean Foods will introduce 57 CNG Freightliner M2-112 straight trucks and 7 Freightliner Cascadia over-the-road tractors powered by the Cummins ISL-G and ISX12-G engines, respectively and outfitted with Agility CNG fuel tanks.
“We see the value a cleaner and more cost-effective fuel can provide to our company, our stakeholders and our community,” said Mike Ahart, Vice President, Dean Foods. “We are pleased to add these natural gas vehicles as a component of our ongoing sustainable business practices.” As part of its overall greenhouse gas reduction goal, Dean Foods set a goal in 2008 to reduce its distribution fleet’s CO2e emissions by 50,000 metric tons by 2013 – a goal surpassed by the end of 2010. The goal was revised in 2012 to reduce distribution emissions 95,000 metric tons by 2020.
Station construction is scheduled to be completed by the second half of the year. The facility will be engineered with the ability to expand to accommodate fueling a fleet of 120 CNG commercial vehicles.
“The introduction of natural gas into the fuel mix of the Oak Farms Dairy fleet is a positive step and we are eager to help this industry-leading company succeed with CNG,” said Chad Lindholm, Vice President, Clean Energy.
A grant covering a portion of the vehicle costs has been provided to Dean Foods under the Texas Natural Gas Vehicle Grant Program (TNGVGP), funded by the Texas Commission on Environmental Quality (TECQ). Through this voluntary grant program, monies are provided to reduce nitrogen oxide emission by replacing older diesel engines with cleaner-burning natural gas engines.
Leadership from Dean Foods and Clean Energy were present at Dean Foods’ Oak Farms milk processing plant in Houston today for an educational and employee appreciation event for Dean Foods’ employees.
Natural gas fuel costs up to $1.00 less per gallon than gasoline or diesel, depending on local market conditions. The use of natural gas fuel not only reduces operating costs for vehicles, but also reduces greenhouse gas emissions up to 30% in light-duty vehicles and 23% in medium to heavy-duty vehicles. In addition, nearly all natural gas consumed in North America is produced domestically.
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About Dean Foods
Dean Foods® is a leading food and beverage company and the largest processor and direct-to-store distributor of fluid milk and other dairy and dairy case products in the United States. Headquartered in Dallas, Texas, the Dean Foods portfolio includes TruMoo®, the leading national flavored milk brand, along with well-known regional dairy brands such as Alta Dena®, Berkeley Farms®, Country Fresh®, Dean’s®, Garelick Farms®, LAND O LAKES® milk and cultured products*, Lehigh Valley Dairy Farms®, Mayfield®, McArthur®, Meadow Gold®, Oak Farms®, PET®**, T.G. Lee®, Tuscan® and more. In all, Dean Foods has more than 50 local and regional dairy brands and private labels. Dean Foods also makes and distributes ice cream, cultured products, juices, teas, and bottled water. Over 17,000 employees across the country work every day to make Dean Foods the most admired and trusted provider of wholesome, great-tasting dairy products at every occasion. For more information about Dean Foods and its brands, visit www.deanfoods.com.
*The LAND O LAKES brand is owned by Land O’Lakes, Inc. and is used by license.
**PET is a trademark of The J.M. Smucker Company and is used by license.
About Clean Energy Fuels Corp.
Clean Energy Fuels Corp. (Nasdaq: CLNE) is the largest provider of natural gas fuel for transportation in North America. We build and operate compressed natural gas (CNG) and liquefied natural gas (LNG) fueling stations; manufacture CNG and LNG equipment and technologies for ourselves and other companies; develop renewable natural gas (RNG) production facilities; and deliver more CNG, LNG and Redeem RNG fuel than any other company in the U.S. For more information, visit www.cleanenergyfuels.com.
This news release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 that involve risks, uncertainties and assumptions, including without limitation statements about the benefits of natural gas relative to gasoline and diesel and completion of the Dean Foods station. Actual results and the timing of events could differ materially from those anticipated in these forward-looking statements as a result of several factors, including, without limitation, the price of natural gas relative to gasoline and diesel and permitting and other factors affecting construction. The forward-looking statements made herein speak only as of the date of this press release and, unless otherwise required by law, the Company undertakes no obligation to publicly update such forward-looking statements to reflect subsequent events or circumstances. Additionally, the reports and other documents the Company files with the SEC (available at www.sec.gov) contain risk factors, which may cause actual results to differ materially from the forward-looking statements contained in this news release.