SoCalGas Announces the Commissioning of Carbon-Negative Waste-to-Energy Technology at Los Angeles Facility

Jul 20, 2022

Kore's modular system diverts organic waste from California landfills and converts it into carbon negative hydrogen and renewable natural gas (RNG)

LOS ANGELES, July 20, 2022 /PRNewswire/ -- Southern California Gas Co. (SoCalGas) today announced that Kore Infrastructure has successfully begun testing and demonstrating its carbon-negative, waste-to-energy modular system at the utility's Los Angeles facility. The innovative technology is designed to divert organic waste from California landfills and convert it into carbon-negative hydrogen and renewable natural gas (RNG). These clean fuels could be used to reduce greenhouse gas emissions from industrial processes and hard-to-electrify sectors, including heavy-duty transportation. SoCalGas is already demonstrating how renewable hydrogen made from RNG could fuel a public transportation fleet. Testing of the Kore Infrastructure technology can provide key insights into efficiency and operating costs, as well as determining the cost-effectiveness of its deployment at scale. SoCalGas contributed $1.5 million to the demonstration project, which has also received funding from the South Coast Air Quality Management District (South Coast AQMD).

Kore's modular system uses a proprietary pyrolysis process, which heats organic waste under high temperatures in a zero-oxygen environment, converting the waste to a blend of gases that could be converted to carbon-negative hydrogen or RNG, along with a solid carbon char that can be used to enhance soil quality or help decarbonize cement and steel production. Kore Infrastructure's process is designed to meet South Coast AQMD's ultra-low NOx and particulate emissions standards.

"This is the type of novel approach that we need to see more of that uses sustainable processes," said Ben J. Benoit, Chair of the South Coast AQMD Governing Board. "Not only will it divert material from landfills, but the process will create clean energy sources that can be used in fuel cell vehicles and other clean-air technologies." 

"In California, transportation causes approximately 40 percent of greenhouse gas emissions," said Cornelius Shields, CEO and founder of Kore Infrastructure. "We're collaborating with waste, energy, and transportation sector leaders to provide a Made-in-America, carbon-negative energy solution. Our UltraGreen™ hydrogen will be the fuel of the future for light-duty vehicles, heavy-duty trucks, and buses, ensuring our supply chain is emissions-free, sustainable, and affordable."

"SoCalGas will continue to support companies developing innovative technologies to help achieve carbon neutrality," said Neil Navin, vice president of clean energy innovations for SoCalGas. "The production of carbon-negative RNG and hydrogen could help provide energy security and decarbonize California in our energy transition."

Kore plans to demonstrate the production of 99.999% pure hydrogen that would be suitable for fuel cell electric cars, trucks, buses, and trains by the third quarter of 2022. The demonstration facility has the potential to process up to 24 tons per day of organic feedstock and produce up to one metric ton of carbon negative, UltraGreen hydrogen™ per day, enough hydrogen for over 1,400 fuel cell electric cars.

This demonstration project could also help California cut methane emissions from landfills under CA Senate Bill 1383 by converting organic waste into carbon-negative renewable fuel. SoCalGas research has shown that clean fuels like hydrogen and RNG can deliver the most affordable, resilient, and technologically proven path to full carbon neutrality.

SoCalGas has more than 10 active hydrogen pilot projects. Last year, SoCalGas submitted several research and development initiatives to the U.S. Department of Energy's (DOE) Earthshot Hydrogen Program's Request for Information (RFI), which is designed to accelerate and enable low-cost clean hydrogen, create jobs, and facilitate a net-zero carbon emissions economy by 2050.

Last year, SoCalGas announced its aspiration to achieve net zero greenhouse gas emissions in its operations and the energy it delivers by 2045 and earlier this year released its ASPIRE 2045 Sustainability Strategy to help reach that goal.

To learn more about Kore Infrastructure's technology and operations, please visit koreinfrastructure.com.

About SoCalGas
Headquartered in Los Angeles, SoCalGas® is the largest gas distribution utility in the United States. SoCalGas delivers affordable, reliable, and increasingly renewable gas service to 21.8 million consumers across 24,000 square miles of Central and Southern California. Gas delivered through the company's pipelines will continue to play a key role in California's clean energy transition—providing electric grid reliability and supporting wind and solar energy deployment.

SoCalGas' mission is to build the cleanest, safest and most innovative energy company in America. In support of that mission, SoCalGas aspires to achieve net-zero greenhouse gas emissions in its operations and delivery of energy by 2045 and to replacing 20 percent of its traditional natural gas supply to core customers with renewable natural gas (RNG) by 2030. Renewable natural gas is made from waste created by dairy farms, landfills, and wastewater treatment plants. SoCalGas is also committed to investing in its gas delivery infrastructure while keeping bills affordable for customers. SoCalGas is a subsidiary of Sempra (NYSE: SRE), an energy services holding company based in San Diego.

For more information visit socalgas.com/newsroom or connect with SoCalGas on Twitter (@SoCalGas), Instagram (@SoCalGas) and Facebook.

About Kore Infrastructure
Since its founding in 2008, Kore has pursued a singular mission: to provide strategic solutions for a carbon-negative, zero waste future. Its proprietary, closed-loop technology accomplishes something that has never been done at scale: converting organic waste into 100% renewable natural gas, UltraGreen hydrogen™, biogas, and biocarbon (a valuable soil amendment and coal substitute), thereby reducing the need for landfills and incinerators and removing CO2 emissions from the atmosphere for good.

Kore's modular conversion technology is a game-changer for a wide variety of companies seeking to balance planet and profit to accelerate the energy transition. With a growing roster of interested clients, from environmental service providers to hydrogen retailers and fuel cell electric car and truck manufacturers, Kore is poised to create unprecedented decarbonization potential for waste generators and renewable energy users alike.

Learn more at: koreinfrastructure.com or connect with Kore on Twitter (@Kore_Infra), Instagram (@kore_infrastructure), and Linkedin.

This press release contains statements that constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are based on assumptions with respect to the future, involve risks and uncertainties, and are not guarantees. Future results may differ materially from those expressed in any forward-looking statements. These forward-looking statements represent our estimates and assumptions only as of the date of this press release. We assume no obligation to update or revise any forward-looking statement as a result of new information, future events or other factors.

In this press release, forward-looking statements can be identified by words such as "believes," "expects," "intends," "anticipates," "plans," "estimates," "projects," "forecasts," "should," "could," "would," "will," "confident," "may," "can," "potential," "possible," "proposed," "in process," "under construction," "in development," "opportunity," "target," "outlook," "maintain," "continue," "goal," "aim," "commit," or similar expressions, or when we discuss our guidance, priorities, strategy, goals, vision, mission, opportunities, projections, intentions or expectations.

Factors, among others, that could cause actual results and events to differ materially from those described in any forward-looking statements include risks and uncertainties relating to: California wildfires, including the risks that we may be found liable for damages regardless of fault and that we may not be able to recover all or a substantial portion of costs from insurance, the wildfire fund established by California Assembly Bill 1054, in rates from customers or a combination thereof; decisions, investigations, regulations, issuances or revocations of permits and other authorizations, renewals of franchises, and other actions by (i) the California Public Utilities Commission (CPUC), Comisión Reguladora de Energía, U.S. Department of Energy, U.S. Federal Energy Regulatory Commission, Public Utility Commission of Texas, and other regulatory and governmental bodies and (ii) states, counties, cities and other jurisdictions in the U.S., Mexico and other countries in which we do business; the success of business development efforts, construction projects and acquisitions and divestitures, including risks in (i) the ability to make a final investment decision, (ii) completing construction projects or other transactions on schedule and budget, (iii) the ability to realize anticipated benefits from any of these efforts if completed, and (iv) obtaining the consent or approval of partners or other third parties, including governmental entities and regulatory bodies; the resolution of civil and criminal litigation, regulatory inquiries, investigations and proceedings, arbitrations, and property disputes, including those related to the natural gas leak at Southern California Gas Company's (SoCalGas) Aliso Canyon natural gas storage facility; changes to laws, including changes to certain of Mexico's laws and rules that impact energy supplier permitting, energy contract rates, the electricity industry generally and the ability to import, export, transport and store hydrocarbons; cybersecurity threats, including by state and state-sponsored actors, to the energy grid, storage and pipeline infrastructure, information and systems used to operate our businesses, and confidentiality of our proprietary information and personal information of our customers and employees, including ransomware attacks on our systems and the systems of third-party vendors and other parties with which we conduct business, all of which have become more pronounced due to recent geopolitical events and other uncertainties, such as the war in Ukraine; failure of foreign governments and state-owned entities to honor their contracts and commitments; actions by credit rating agencies to downgrade our credit ratings or to place those ratings on negative outlook and our ability to borrow on favorable terms and meet our debt service obligations; the impact of energy and climate policies, legislation, rulemaking and disclosures, as well as related goals set and actions taken by companies in our industry, including actions to reduce or eliminate reliance on natural gas generally and any deterioration of or increased uncertainty in the political or regulatory environment for California natural gas distribution companies and the risk of nonrecovery for stranded assets; the pace of the development and adoption of new technologies in the energy sector, including those designed to support governmental and private party energy and climate goals, and our ability to timely and economically incorporate them into our business; weather, natural disasters, pandemics, accidents, equipment failures, explosions, acts of terrorism, information system outages or other events that disrupt our operations, damage our facilities and systems, cause the release of harmful materials, cause fires or subject us to liability for property damage or personal injuries, fines and penalties, some of which may not be covered by insurance, may be disputed by insurers or may otherwise not be recoverable through regulatory mechanisms or may impact our ability to obtain satisfactory levels of affordable insurance; the availability of electric power and natural gas and natural gas storage capacity, including disruptions caused by failures in the transmission grid or limitations on the withdrawal of natural gas from storage facilities; the impact of the COVID-19 pandemic, including potential vaccination mandates, on capital projects, regulatory approvals and the execution of our operations; the impact at San Diego Gas & Electric Company (SDG&E) on competitive customer rates and reliability due to the growth in distributed and local power generation, including from departing retail load resulting from customers transferring to Community Choice Aggregation and Direct Access, and the risk of nonrecovery for stranded assets and contractual obligations; Oncor Electric Delivery Company LLC's (Oncor) ability to eliminate or reduce its quarterly dividends due to regulatory and governance requirements and commitments, including by actions of Oncor's independent directors or a minority member director; volatility in foreign currency exchange, inflation and interest rates and commodity prices, including inflationary pressures in the U.S., and our ability to effectively hedge these risks and with respect to inflation and interest rates, the impact on SDG&E's and SoCalGas' cost of capital and the affordability of customer rates; changes in tax and trade policies, laws and regulations, including tariffs, revisions to international trade agreements and sanctions, such as those that have been imposed and that may be imposed in the future in connection with the war in Ukraine, which may increase our costs, reduce our competitiveness, impact our ability to do business with certain current or potential counterparties, or impair our ability to resolve trade disputes; and other uncertainties, some of which may be difficult to predict and are beyond our control.

These risks and uncertainties are further discussed in the reports that Sempra has filed with the U.S. Securities and Exchange Commission (SEC). These reports are available through the EDGAR system free-of-charge on the SEC's website, www.sec.gov, and on Sempra's website, www.sempra.com. Investors should not rely unduly on any forward-looking statements.

Sempra Infrastructure, Sempra Texas, Sempra Texas Utilities, Oncor and Infraestructura Energética Nova, S.A.P.I. de C.V. (IEnova) are not the same companies as the California utilities, SDG&E or SoCalGas, and Sempra Infrastructure, Sempra Texas, Sempra Texas Utilities, Oncor and IEnova are not regulated by the CPUC.

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SOURCE Southern California Gas Company

For further information: YULU PR, kore@yulupr.com, 604.558.1656; SoCalGas, Elizabeth Rodil, erodil@socalgas.com, 213.418.5252