CycleØ acquires Spanish waste management facility

According to a statement, this acquisition, part of CycleØ’s EUR 200 million expansion in Spanish renewable gas infrastructure, will enable the company to convert 121,000 tonnes of waste each year into biomethane aka renewable natural gas (RNG), enough to supply the gas needs of approximately 4,000 Spanish homes.

CycleØ will retain all GARYC employees, ensuring continued expertise and seamless operation.

We are delighted to welcome the GARYC team. Their depth of expertise in waste valorization will help us realize further investment at the Toledo plant, extending capacity and emission reduction impact, said Jordi Berengué, Managing Director for CycleØ in Spain.

GARYC’s Albarreal del Tajo facility in Toledo processes liquid and solid waste from Madrid and neighbouring areas.

This partnership enables us to expand the business my brother and I began in 2009 — securing jobs, creating new opportunities, and ensuring GARYC’s legacy endures as we transform waste into valuable resources for Europe’s energy independence, said Pedro Azón, Plant Director at GARYC.

Gas-to-grid

With its planned investment, CycleØ aims to achieve biogas output of 3.7 million Nm³ (26 GWh) per annum by 2027.

The biogas will be upgraded to biomethane and injected into the Spanish grid through a virtual pipeline, helping to reduce emissions and advance Spain’s target of raising annual biomethane production to 10.4 TWh by 2030 under the Spanish Biogas Roadmap – Hoja de Ruta del Biogás.

This acquisition is the first step for CycleØ in the production of biomethane from municipal waste, helping to further establish the company as a leading producer of RNG in Spain.

CycleØ is one of the very few developers that finance, build, own, and operate biogas plants in Spain and across Europe. This acquisition enables us to expand our successful operation of agri-centric plants into industrial applications, such as waste management, said Laurence Molke, CEO of CycleØ.

Backed by Ara Partners, a global private equity and infrastructure investment firm dedicated to industrial decarbonization, CycleØ will draw on its experience operating three Spanish biogas plants and managing the first private grid injection point in Spain as it expands into producing RNG from waste, a further step towards its ambition to own and operate up to 30 biogas plants in Spain.

Organic municipal waste is a critical environmental problem that generates significant amounts of greenhouse gas emissions and other pollutants.  Processing such waste and converting it to biomethane not only reduces emissions but also represents a valuable domestic source of clean energy. This acquisition is further validation of the differentiating strategy of CycleØ and its capability across the entire biomethane value chain, said Christopher Picotte, Partner at Ara Partners.