Clean Energy Fuels Corp. Q3 FY2025 earnings call

• Downstream fueling business: Transit and refuse are steady with long-standing customer relationships. Have 309 fueling sites, support transit agencies and refuse companies. Announced award of contracts to build hydrogen fueling stations.
• Heavy-duty trucking: RNG is low NOx, low GHG emissions with lower cost of ownership than diesel. Pioneer Clean Fleet Solutions launched, expanded Class A demo truck program with 2026 Freightliner Cascadia Gen 5 day cab.
• Upstream RNG production: RIN pricing stabilized but LCFS credit prices face headwinds. Await Treasury's finalization of 45Z rules. Two largest dairy projects began initial operations. Broke ground on three new dairy RNG projects under development agreement with Maas Energy Works.

For the third quarter, Clean Energy posted $106 million in revenue, sold 61 million gallons of renewable natural gas and generated $17 million of adjusted EBITDA. Downstream fueling business: Transit and refuse remain steady contributors with long-standing customer relationships. Heavy-duty trucking is the largest opportunity. Upstream RNG production business: 8 projects in operation, exited 2025 with volumes between 5 million and 6 million gallons, and next year expects to nearly double, with eventual target closer to 20 million gallons once Maas projects are on.

• Maintained 2025 outlook raised in August.
• 2026 RNG production expected to see a nice growth from previous levels, though not a step change.
• X15N adoption is hard to predict exactly but optimistic about increased adoption in coming years as fleets experience the technology.

• LCFS credit prices continue to face headwinds impacting segment profitability.
• RIN pricing stability could be affected by market changes.
• Fuel price fluctuations related to oil and gas spreads can impact fuel margins.

Q: Regarding the RNG upstream business, run rate of volumes expected to exit 2025 and longer-term outlook.

A: Exit 2025 between 5 million and 6 million gallons, next year nearly double, eventual target closer to 20 million gallons once Maas projects are on.

Q: Thoughts on Pioneer Clean Fuel Solutions initial interest and impact on X15N adoption.

A: Told first deal in works, had meetings with 20 different fleets, good alignment with Cummins and Hexagon Agility.

Q: Expectations for 2026, volumes and X15 gallons.

A: Not sharing 2026 guidance yet, RNG production expected to have nice growth, X15N adoption hard to predict exactly but optimistic for increased adoption.

Q: How Clean Energy manages fuel margin with potential narrowing of WTI to Henry Hub spread.

A: Watch oil and gas spread closely, think mid-teens to 17:1 spread is good, also consider RIN and LCFS pricing, and diesel prices in California.