Chicago-based AMP Americas has signed a deal with Dairy Farmers of America (DFA) and Select Milk Producers, both national dairy cooperatives, to convert a portion of their diesel fleets to compressed natural gas (CNG)-powered trucks. Under the agreement, AMP-Trillium, the joint venture between AMP Americas and Trillium CNG, will build seven public fueling stations between now and early 2014 and lease new CNG trucks that will travel more than 13.2 million miles per year, servicing routes throughout Texas.
The stations, which will be built in Waco, Amarillo, Harrold, Sweetwater, Weatherford, Kerrville and Midland, will initially fuel forty new Class-8 Kenworth and Peterbilt CNG sleeper trucks, a number that will double over the course of the agreement.
“It is estimated that the culmination of this deal will displace carbon emissions equal to removing 2,400 cars per year from the road and will save the supply chain $1.50 to $2.00 in fuel savings on every gallon sold. It lets us build a network of public, fast-fill CNG stations across all of the major Texas corridors that can be used by any fleet running trucks across the state,” according to Nathan Laurell, CEO of AMP Americas.
“This new network of CNG stations will allow AMP-Trillium to meet the rapidly increasing demand for CNG cars and trucks. The low cost, low-carbon emissions, and reliability of CNG has made it the ideal alternative to gasoline and diesel fuels, “ said Mary Boettcher, President of Trillium CNG™.
The deal structured by AMP Americas features beneficial contract terms for fleets operated by Western Dairy Transport and Reynolds Transport, establishing the two as “first-movers” by operating two of the largest 12-liter commercial CNG fleets in the US.
AMP Americas and Trillium CNG commenced AMP Trillium, focused on building a network of CNG stations across the U.S., in mid 2012. AMP Americas is a member of the U.S. Department of Energy’s National Clean Fleets Partnership tasked to reduce the nation’s dependency on imported oil. Trillium CNG, a business unit of Integrys Energy Group, is a provider of CNG to fleets, and also offers complete facility design, construction, operation and maintenance services.
(Source: AMP Americas)