Delorean agrees up to 10-year offtake for RNG from Origin Energy’s South Australia plant

In Australia, Delorean Corporation has completed a binding Gas Sales Agreement with Origin Energy Retail Limited for the long term supply of renewable biomethane from its SA1 Salisbury bioenergy facility in Edinburgh Parks, South Australia, with renewable gas delivered via the gas network. Under the agreement, Origin will purchase up to 200 terajoules per annum of biomethane ‘as arising’ from Delorean’s SA1 facility (currently under construction) on a take or pay basis for 8 years from expected first gas in April 2026 until March 2034, with a further two year option for Origin to March 2036. The renewable gas offtake agreement includes the purchase of Renewable Gas Guarantee of Origin (RGGO’s) which the SA1 facility will generate and can be used for the large industrial sector to reduce Scope 1 emissions in the hard to abate sector. Pricing for biomethane is escalated to CPI.
Delorean’s biomethane offtake agreement with Origin Energy satisfies a key condition precedent for progressive payments up to $6.1m in Australian Renewable Energy Agency (ARENA) grant funding as part of ARENA’s National Industrial Transformation Program as announced to ASX on March 6, 2025, with first milestone payment of A$2.7m expected in October 2025.
This transaction, which operates under an existing Master Bilateral Gas Sales Agreement between Origin and Delorean, locks in A$30-40m in revenue over the 10 year term (factoring in CPI escalations and the 2 year extension).