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Landfill Gas System for Sale; Operators in Bankruptcy

Date: May 10, 2007

Source: News Room

Operators of the landfill gas system of one of the country's largest landfills: the McCommas Bluff landfill in Dallas Texas had to declare Bankruptcy and will have to sell their assets. McCommas Landfill Partners LP leases from the City of Dallas the right to collect and sell the gas. They in turn, sublease to McCommas LFG Processing Partners LP to collect and convert the gas into pipeline-quality natural gas. McCommas had hoped to build a power plant on the site but was unable to obtain financing in part because of the City's demand that it sell the energy at a price below the cost of production.

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