Rosendale digester sale approved to Pennsylvania energy company
FOND DU LAC, Wis. - The University of Wisconsin-Oshkosh Foundation has sold its controversial green energy initiative to a Pennsylvania energy company.
Fond du Lac County Circuit Judge Richard Nuss today approved the Foundation's plan to sell its Rosendale Biodigester, which converts animal waste into energy, to REV LNG.
The sale price was good news for the foundation as the $8.25 million offer is approximately $1.5 million above the $6.75 million it owed on the digester project.
REV LNG won a Monday, Aug. 27, auction with an investment nearly three times larger than an initial “stalking horse” bid of $2.1 million.
As a result, the non-profit UWO Foundation, which is in the throes of Chapter 11 bankruptcy, may have generated enough money to not only pay off all outstanding debts to creditors on the digester but possibly make some profit. The digester was just one of numerous investments the university made by funneling public money through the foundation, UW System officials allege.
Energy company REV LNG was among four bidders vying to own and operate the digester.
The sale will allow the Pennsylvania-based company to capture liquefied natural gas from the facility, similar to what the company is already doing with a functioning unit at Pagel’s Ponderosa Dairy in Kewaunee County. The acquisition will help REV LNG to expand its green sustainable footprint in the state of Wisconsin.
Located on the same property as the 8,600-cow Rosendale Dairy, the digester currently transforms the methane extracted from cow manure into enough electricity to power 1,200 homes.