Black Hills Corp acquires RNG facility in Dubuque to strengthen renewable energy commitment

Black Hills Corp. (NYSE: BKH), through its nonregulated subsidiary Black Hills Energy Renewable Resources (BHERR), has announced the completion of its acquisition of a renewable natural gas (RNG) production facility located in Dubuque, Iowa. This strategic move marks the company’s foray into RNG production, underlining its commitment to integrating renewable resources within its energy mix as part of its broader emissions reduction strategy.

The Dubuque Metropolitan Area Solid Waste Agency site, now part of Black Hills Energy Renewable Resources’ portfolio, includes essential onsite infrastructure and rights to RNG production under a long-term contract. The facility is instrumental in injecting RNG into the natural gas distribution system in Dubuque, significantly contributing to the area’s sustainable energy consumption.

Todd Jacobs, Senior Vice President of Growth and Strategy at Black Hills Corp., expressed the acquisition’s role in the company’s emissions reduction plan, emphasizing the synergy between nonregulated RNG production and the company’s regulated natural gas utility operations in Iowa. The initiative not only represents Black Hills Corp.’s entry into RNG production but also leverages its extensive experience in regulated natural gas pipeline systems, including RNG interconnections.

The RNG facility captures methane emissions from landfill operations, converting them into a lower-carbon fuel alternative. This process aligns with the U.S. EPA Renewable Fuel Standard Program, ensuring the RNG and its environmental benefits are utilized efficiently and sustainably.

With this acquisition, Black Hills Corp., headquartered in Rapid City, South Dakota, reinforces its position as a customer-focused, growth-oriented utility company. The company serves over 1.33 million natural gas and electric utility customers across eight states and continues to seek opportunities to expand its renewable energy offerings, aligning with its vision to be the energy partner of choice.

Black Hills Corp.’s strategic acquisition of the RNG production facility in Dubuque, Iowa, signifies a pivotal step towards diversifying its energy portfolio with sustainable and renewable resources. This move not only enhances the company’s sustainability credentials but also positions it as a leader in the transition to cleaner energy sources. By focusing on RNG production, Black Hills Corp. is addressing the growing demand for renewable energy solutions while contributing to the reduction of greenhouse gas emissions, demonstrating a commendable blend of business acumen and environmental stewardship.