Clean Energy Fuels Reports Indicate Improving North American Market

| USA, Newport Beach CA

Clean Energy Fuels Station 2015Clean Energy Fuels Corp., the leading provider of natural gas as an alternative fuel for vehicle fleets in the United States and Canada, based on the number of stations operated and the amount of gasoline gallon equivalents (GGEs) of compressed natural gas (CNG), liquefied natural gas (LNG) and renewable natural gas (RNG) delivered, is on a roll. The Company delivered 82.9 million gallons in the second quarter of 2016, an 11% increase from 74.4 million gallons delivered in the second quarter of 2015. Following the release of the company’s second-quarter earnings report, ‘CLNE’ shares are up 18.9% (August 10).

Revenue for the second quarter of 2016 was $ 108.0 million, a 24% increase from $ 86.9 million for the second quarter of 2015. Revenue for the second quarter of 2016 included $6.5 million of excise tax credits for alternative fuels (VETC) whereas the second quarter of 2015 did not include any VETC revenue. This follows reported revenue for Q1 of $ 95.8 million, an 11.6% increase from $ 85.9 million for the first quarter of 2015.

Additionally, the Company’s deliveries of vehicle fuel renewable natural gas and customer station construction activity favourably impacted revenue in the second quarter of 2016.

Andrew J. Littlefair, Clean Energy’s President and Chief Executive Officer, stated “We had another strong quarter with positive Adjusted EBITDA and continued improvements to our capitalization. We believe the increasing attention to the immediate favourable environmental impacts of natural gas and particularly our Redeem renewable natural gas, coupled with growing volumes through customer fleet expansions and increased market penetration, are coming through in our operating results.”

In July this year, Clean Energy Fuels informed the market it issued 14.0 million shares of common stock and paid an aggregate of $ 37.9 million in cash, plus $ 0.2 million for accrued and unpaid interest, in exchange for all of its outstanding 7.5% Convertible Notes due in August 2016, which totalled $ 85.2 million in principal and accrued and unpaid interest. No amounts remain due and owing under the 2016 Notes and all 2016 Notes have been terminated and cancelled in full.

“We have achieved several significant milestones in the last six months, including retiring all the 2016 Notes, repurchasing over $ 65 million of the 5.25% Convertible Notes due 2018, cutting capital expenditures and reporting improved financial results,” Littlefair said at that time. “We completed the build-out of the initial phase of our America’s Natural Gas Highway and will continue to focus on leveraging our existing infrastructure with new customers and expanding with our existing customers. I’m proud that the Clean Energy team has been able to accomplish so much despite the competitive environment of low oil prices the last few years. I remain optimistic about the future as more and more fleets are realizing the environmental and cost benefits of natural gas fuel.”

Clean Energy Fuels 2013Company Overview

Clean Energy Fuels Corp’s principal business is supplying CNG, LNG and RNG (RNG can be delivered in the form of CNG or LNG) for light, medium and heavy-duty vehicles and providing operation and maintenance services for vehicle fleet customer stations.

The Company also designs, builds, operates, and maintains fueling stations; manufactures, sells and services non-lubricated natural gas fueling compressors and related equipment used in CNG stations and LNG stations; offers assessment, design and modification solutions to provide operators with code-compliant service and maintenance facilities for natural gas vehicle fleets; transports and sells CNG to large industrial and institutional energy users who do not have direct access to natural gas pipelines; processes and sells RNG; sells tradable credits generated by selling natural gas and RNG as a vehicle fuel, including credits generated under the California and Oregon Low Carbon Fuel Standards and Renewable Identification Numbers generated under the federal Renewable Fuel Standard Phase 2; and helps customers acquire and finance natural gas vehicles and obtain federal, state and local tax credits, grants and incentives.

The Company serves fleet vehicle operators in a variety of markets, including heavy-duty trucking, airports, refuse, public transit, industrial and institutional energy users and government fleets. It believes these fleet markets will continue to present a growth opportunity for natural gas vehicle fuels for the foreseeable future.

As of June 30, 2016, Clean Energy Fuels serves nearly 1,000 fleet customers operating over 44,000 natural gas vehicles, and owns, operates or supplies over 570 natural gas fueling stations in 42 states in the United States and in British Columbia and Ontario in Canada.

Clean Energy Fuels is an NGV Global Sponsor Member.

(Source: Clean Energy Fuels Corp.)

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