LF Bioenergy

LF Bioenergy develops and operates renewable natural gas (RNG) production facilities by collaborating with dairy farmers. The company leverages its expertise and team of specialists to provide customized end-to-end RNG solutions to farms including staffing and operating. LF Bioenergy facilities convert waste material from farms into RNG and offer a profit-sharing structure to the farms involved.

In April 2023, LF Bioenergy began commercial operations at its RNG facility at Stauffer Farms in New York. The facility converts dairy cow manure into RNG and pipes it into Liberty Utilities’ network of natural gas pipelines. Once at capacity, the facility is set to generate ~130,000 MMBtu of RNG annually. In August 2023, the company began construction of an anaerobic digester facility that will convert dairy farm manure into RNG at Nobles Farms. The facility is expected to begin operations in 2024.

Key customers and partnerships

In July 2021, LF Bioenergy partnered with Cresta Fund Management to develop, own, and operate RNG production facilities in the US. In February 2022, LF Bioenergy partnered with Martin Energy Group, and Martin Construction Resource to work together with dairy farm families in New York to design and construct RNG facilities.

Funding and financials

In March 2023, Marathon Petroleum Corp (MPC) acquired 49.9% interest in LF Bioenergy from Cresta Fund Management for a sum of USD 50 million. MPC was expected to fund its share of capital expenditure to build out LF Bioenergy’s portfolio and produce in excess of 6,500 MMBtu per day by 2026. It was also expected to provide an additional USD 50 million in funding, pursuant to achieving specific targets.