January 24 (Renewables Now) - US diversified energy company Camber Energy Inc (NYSEAmerican:CEI) has reached a USD-750-million (EUR 688.9m) deal to buy a renewable diesel plant near Reno, Nevada which once operational is expected to have a production capacity of about 43 million gallons per year.
The energy firm has inked a membership interest purchase agreement with a unit of Viking Energy Group Inc to acquire the entities that own the asset and are working on bringing it into commercial operation, a press release said.
The deal’s value includes outstanding liabilities and indebtedness associated with the target entities in the amount of about USD 251 million.
The transaction hinges on regulatory clearances, shareholder and board approvals, as well as US energy manufacturing and logistics company Phillips 66 not exercising a right of first refusal to acquire the plant, among other conditions.
The Reno plant is one of the two sites that Ryze Renewables Holdings LLC started building in 2018. Ryze in 2021 sold the Reno project to Viking Energy Group Inc, which is currently a majority-owned subsidiary of Camber.
(USD 1 = EUR 0.918)