UK-based energy giant BP has acquired a 28.57 percent stake in compatriot bio-LNG and bio-CNG supplier Gasrec.
According to a joint statement on Thursday, BP would supply Gasrec with renewable biomethane produced mainly from organic wastes, such as food and dairy manure.
The investment would expand BP’s UK footprint in renewable gas production and distribution, adding to its “market leading” position in the US, the statement said.
“Bio-LNG and bio-CNG play a crucial role in the energy transition and decarbonization of the heavy-freight industry and is another example of how we’re helping decarbonize hard-to-abate sectors,” Carol Howle, EVP trading and shipping at BP, said.
Gasrec’s network of ten biomethane refueling stations across the UK is capable of refueling about 1,250 vehicles per day and includes one of Europe’s largest gas refueling stations, at Daventry International Rail Freight Terminal (DIRFT).
Also, with a “strong” market position, refueling around 40 percent of the UK’s gas-powered HGVs, Gasrec is seeking to expand its network of refueling stations at logistics parks.
“This agreement is an important milestone for our company as we look to continue increasing our impact on the UK’s heavy goods vehicle industry,” Rob Wood, CEO of Gasrec, said.
“Building on our eighteen years’ experience and leading position in the HGV gas supply industry, we are excited to be working with BP to help expand our reach,” he said.
The firms did not reveal the financial details of the deal.