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Applied Natural Gas Fuels to Build LNG Production Plant in Midlothian, Texas

Applied Natural Gas Fuels, Inc. (“ANGF” or the “Company”) announced it has purchased 31 acres of land to build a liquefied natural gas (LNG) production plant in RailPort Business Park in Midlothian, Texas, south of the Dallas/Fort Worth Metroplex.  ANGF will be the first mid-stream LNG production company to build an LNG platform in the North Texas region.

The Midlothian LNG plant will consist of up to five liquefiers, or production trains, with a daily production capacity of 86,000 LNG gallons per liquefier and a total on-site storage of up to 1.5 million LNG gallons.  The Midlothian LNG plant will represent a total investment of approximately $150 million and will result in new positions such as plant operators, field technicians, maintenance and repair mechanics, drivers, and sales and front office personnel.

The Westlake Village, Calif.,-based company, which serves a portfolio of transportation, industrial and municipal customers, is slated to break ground on the site in mid-2014 and expects to start LNG production in early 2015.

Midlothian was a prime fit for ANGF as it allows the company to tap into a wide range of customers in the high-horsepower, trucking, oil and gas, rail, and marine markets that currently use diesel fuel and are interested in converting to a lower-cost, cleaner-burning alternative.

“In addition to Midlothian’s strategically important location, the RailPort Business Park has all the required amenities for a state-of-the-art LNG plant,” said Cem Hacioglu, ANGF’s president and CEO.  “The support and cooperation we have received from the Economic Development Authority and other City agencies during the evaluation and the selection process made Midlothian an easy choice,” stated Hacioglu.

“Our goal is to partner with companies like ANGF to simplify and streamline the site evaluation process, as well as advocate for the company’s best interests,” said Larry Barnett, president/CEO of Midlothian Economic Development.  “We do this by achieving a clear understanding of a company’s operations, as well as facilitating efficient collaboration with city leaders. Mr. Hacioglu and his executive team appreciated our city’s unified approach to their unique project.

“We are committed to the long-term success of Applied Natural Gas Fuels operating in Midlothian, as they join our team of corporate citizens in “Making Something Great Here,” Barnett said.

Midlothian city leaders echoed Barnett’s sentiments.

“The City of Midlothian is extremely pleased to welcome Applied Natural Gas Fuels to our community,” said Midlothian Mayor Bill Houston. “Applied is a leader of the emerging liquefied natural gas industry, and Midlothian is a growth center in the dynamic North Texas region.  We see an optimal match here, and look forward to Applied’s construction and future development phases.”

“Applied Natural Gas Fuels is a welcome addition to Midlothian’s economic base, and our RailPort Industrial Park will be an ideal home for this new Applied plant,” said Don Hastings, Midlothian city manager. “This LNG facility will add $150 million of value to Midlothian’s tax base, and will no doubt attract ancillary investment that will further benefit Midlothian’s growing business and industrial sectors.”

As LNG gains momentum as an alternative to gasoline and diesel fuel, ANGF seeks to serve on-road customers such as refuse disposal companies and for-hire and private fleets. Off-road LNG applications include stationary power generation, drill rigs, fracking rigs, mobile asphalt plants and mining.

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