Landfill gas production operation launched

Corpus Christi, TX— Consortium Service Management Group, Inc. announced that it has reached an agreement with the RTC Bankruptcy Trustee and Waste Management Inc. on the Chastang, Alabama Landfill Gas CO2 separation project. Consortium will be able to begin start-up and landfill gas production operations. The company has a 10-year operating agreement with a possible five-year extension to operate the complex, which is near Mobile.

Donald S. Robbins, president and CEO of CTUM, said, “This is a long-awaited and major development for our company. This project is expected to bring new revenue to our company as well as open the door to other installations throughout the U.S. and Canada.”

The agreement is now being submitted to the bankruptcy court in Chicago, where RTC’s proceedings are pending, for approval. The start-up of the Chastang site’s gas production was delayed by a legal dispute between RTC and the site’s owner, Waste Management, Inc. As a result, installation was stopped approximately 18 months ago. RTC’s proceedings involve disputes over gas production at several waste sites throughout the country. According to counsel, the company believes the Chastang site will be the first location released from the bankruptcy proceeding by agreement of the major parties and believes it will obtain prompt court review.

The ASME-certified 177-metric ton complex includes compressors and technology for separating and removing high levels of CO2 content from raw landfill methane gas resulting in pipeline quality methane gas suitable for the commercial natural gas market. The company will be paid from revenues generated from the sale of the gas.

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