Covanta announces acquisition of 3 Niagara Falls, New York, firms

Covanta Holding Corp., Morristown, New Jersey, has announced the acquisition of SGS Recovery, Frontier Fibers and Buffalo Fuel Corp., a suite of full-service, nonhazardous industrial waste processing, logistics and product reuse operations located in Niagara Falls, New York.

“The addition of SGS Recovery, Frontier Fibers and Buffalo Fuel Corp. to our team is a game-changer because it elevates Covanta into the leading provider of alternative fuels in the country,” says Azeez Mohammed, president and CEO of Covanta, which provides sustainable materials management and environmental solutions to businesses and communities across North America. “These are exciting early innings in our transformation as we lay the groundwork for more sustainable solutions to carbon intrusive industries. We look forward to this extraordinary opportunity to build upon compelling services that not just meet customers’ economic needs, but also present effective solutions that shape a truly circular economy.”

SGS Recovery is a leader in the engineered fuel industry offering a manufactured product to replace traditional fossil fuels for some of the nation’s largest commercial applications in the cement and lime industry. This alternative energy source is produced to meet the precise needs, specifications and demands of each customer. The resulting fuel significantly reduces kiln emissions and is a direct replacement of traditional feedstocks.

Frontier Fibers uses absorbent, 100-percent biodegradable materials to create bedding for the dairy, livestock and equestrian markets. Composed of residual fiber, Frontier Fibers’ adds value to reuse solutions that support end-of-life supply chains and circular economic growth.

Buffalo Fuel Corp. provides transportation and recycling solutions for a variety of materials. The firm delivers comprehensive hauling and logistics services with an emphasis on reliability and safety.

“Since our founding, we have consistently delivered innovative services to our customers. Our three subsidiaries, SGS Recovery, Frontier Fibers and Buffalo Fuel Corp., will continue to do this, but at a whole new level … with the backing of industry leader Covanta,” says G. Aaron Santarosa, president of Santarosa Group, owner of SGS Recovery, Buffalo Fuel Corp. and Frontier Fibers. “We have a bright future ahead of us and we look forward to bolstering our services with Covanta’s unique offerings that meet the needs of an increasingly environmentally-conscious business world.”

The three fully permitted waste facilities are located in a key market for the company and bring with them a seasoned management team with a proven track record of business growth, increased transportation capabilities and a diversified and complementary customer base, says Covanta in a news release. The acquisitions should also enable Covanta to strengthen its environmental, social governance narrative with the addition of alternative engineered fuels and waste-to-product services to its existing portfolio of environmentally sustainable solutions with a footprint in close proximity to Covanta’s waste-to-energy and material processing facilities in Western New York.

The three acquisitions represent the latest in a series of transactions following Covanta’s purchase by the EQT Infrastructure fund last year, broadening the company’s geographic footprint, expanding its customer base and diversifying its zero-waste-to-landfill and carbon-negative capabilities. The announcement follows on the heels of the company’s recent purchases of Miller Environmental Transfer and Biologic Environmental Services and Waste Solutions.