Tenaska to Establish Gas Transportation Fuels Company (USA)

Tenaska is launching a marketing and development company in response to the growing use of liquefied natural gas (LNG) and compressed natural gas (CNG), together NG fuels, in the transportation sector and among industries using high-horsepower engines. Chairman of Natural Gas Vehicles for America (NGVAmerica) Doug Clark has signed on to lead commercial activities for the new affiliate, Tenaska NG Fuels.

TNG Fuels will leverage Tenaska’s energy marketing expertise and its 26 years of project development and commercial financing experience to assist utilities and customers in the trucking, mining, railroad, vessel and other transportation industries to realize cost savings and meet new and changing environmental regulations. TNG Fuels also plans to help customers, manage commodity risk, build commercial arrangements and strategically site, develop and finance production and distribution facilities.

“Tenaska is well-equipped to meet the needs of this expanding natural gas fuels market,” said Jerry Crouse, Tenaska CEO and vice chairman. “We have customers that have looked to us for these services. What the industry needs and what we have to offer are a great match – natural gas pipeline and downstream logistics expertise, a strong record of energy project siting and development, and a commitment to customer service in a credit-worthy package.”

Clark is the former president of the Metropolitan Utilities District (MUD) in Omaha, one of the first municipal utilities to contract with a third party to market LNG to companies transitioning to the fuel for operations or transportation. Clark also oversaw the fuel conversion of a fleet of 200 vehicles from gasoline and diesel fuel to CNG and the development of the infrastructure required to support it, including several public fueling stations. MUD sales of CNG are on track to total the equivalent of 400,000 gallons in 2013.

“Doug’s reputation and experience as an early mover in the NG fuels sector further enhances what we can offer,” Crouse said.

“The recent proliferation of shale gas production in the United States has made the use of natural gas as a transportation fuel very attractive compared to the traditional diesel fuel used in many types of engines,” Clark said. “MUD saw this and set out to be the leading provider of NG fuels to the transportation industry in the Midwest. I was pleased to lead MUD’s early entry into the market and look forward to leveraging Tenaska’s international reach and strong reputation in the energy industry to develop and expand NG fuels markets.”

“Tenaska’s message to the NG fuels market is pretty simple: You have options. We are ready to be one of them. And we have a record of delivering value in each of these services,” Clark said.

[mappress]
LNG World News Staff, October 04, 2013