Montauk Renewables ups profits, revenue in 2022

Pittsburgh-based landfill gas energy technology firm Montauk Renewables Inc. says its revenue increased by nearly 39 percent in 2022 compared with the prior year. The company’s net income in 2022 jumped by 877 percent compared with 2021.

Despite the impressive financial figures, Montauk says during 2022, facilities it operates produced 2.9 percent less renewable natural gas (RNG) compared with 2021. The 2022 production figure was 5.5 metric million British thermal units (MMBtu).

The firm’s revenue figure for the year was $205.6 million while its net income checked in at $35.2 million.

Montauk says its 2022 revenue “reflects an increase in pricing of both gas commodity and the average realized price of D3 Renewable Identification Numbers (RINs) sold.” That increase in price offset the decrease in RNG volumes produced.

The company says it has started to incur capital expenditures for a second RNG facility at its Apex Landfill location in Amsterdam, Ohio. Montauk says it expects that facility to be operational in 2024.

Continues the firm, “During 2022, we consolidated our Montauk Ag Renewables location to the Turkey, North Carolina, property we purchased in 2021. The consolidation decision was made, in part, to this site being approved to participate in an RNG pilot program in North Carolina.”

In a third operational update, Montauk writes, “Finally, our capital program to upgrade our Raeger [Pennsylvania] facility is ongoing with an expected completion date in the third quarter of 2023.”

Looking ahead, the company says it expects its RNG revenue to decline in 2023, dropping to a “range between $137 and $145 million.” To reach that range, Montauk says it will have to increase its RNG production to from 5.7 million to 6.1 million MMBtu this year.