Archaea Infrastructure, a subsidiary of RNG company Archaea Energy Inc., has entered into a definitive purchase and sale agreement with Riverview Investment Holdings to acquire NextGen Power Holdings for $215 million in cash.
The transaction will be a significant addition to Archaea’s backlog of attractive RNG development opportunities via the acquisition of existing electricity-generation assets.
NextGen’s asset platform includes 14 operating landfill gas to electric plants (LFGTE) at sites that had combined gas flows into the facilities of 7 million metric million British thermal units in 2021. The acquisition includes gas rights for these sites, which have a number of existing long-term agreements in place. The asset base is located on landfills with strong growth potential and permitted waste acceptance for more than 40 years on average across sites.
Archaea expects to build RNG facilities on the majority of these LFGTE sites over time, materially expand