Delorean Powers Ahead with $53m Yarra Valley Bioenergy Milestone

Strategic Pivot to Build-Own-Operate Model

Delorean Corporation has announced a significant transformation in its business model during FY2025, moving from a focus on delivering bioenergy construction projects for third parties to owning and operating its own renewable gas infrastructure. This strategic reset positions Delorean at the forefront of Australia's bioenergy sector, aiming to generate long-term, diversified revenue streams backed by investment-grade partners and offtakers.

Milestone Completion and Project Pipeline

The company celebrated the practical completion of its largest contract to date, the $53 million Yarra Valley Water bioenergy facility in Victoria. This plant, one of the largest food waste-to-energy facilities in the state, is now operational and generating renewable energy while supporting water treatment processes. Meanwhile, Delorean is advancing its first fully owned build-own-operate (BOO) project, SA1 Salisbury in South Australia, with construction well underway and financing secured through a $37 million corporate debt facility and a $14.5 million loan from NAB.

Looking ahead, Delorean is progressing development approvals and funding arrangements for its NSW1 Horsley Park and VIC1 Stanhope projects, both poised to expand its renewable gas production capacity. These projects are aligned with growing industrial demand for biomethane and liquid CO₂, supported by long-term offtake agreements with major players such as Origin Energy and Supagas.

Robust Market Tailwinds and ESG Commitment

Delorean’s growth is underpinned by strong regulatory and market tailwinds, including government grants totaling approximately $50 million (with $11.1 million already awarded), rising landfill levies, and policies promoting renewable gas adoption. The company’s vertically integrated model generates income from multiple sources, renewable gas sales, gate fees for organic waste, environmental credits, and emerging products like biofertiliser.

Health and safety remain a priority, with zero lost time injuries recorded in FY2025 and maintenance of ISO certifications. Delorean also released its fourth annual ESG report, reinforcing its commitment to sustainability and responsible investment, crucial factors as the company supports Australia’s net zero ambitions.

Leadership and Strategic Partnerships

The board welcomed Surena Ho, bringing extensive gas sector expertise to guide Delorean’s next growth phase. Strategic collaborations, including a new partnership with Paper Australia Pty Ltd (Opal) for a potential anaerobic digestion facility, highlight Delorean’s expanding footprint and ability to support large industrial clients in decarbonising their operations.

Outlook, Scaling Renewable Gas Infrastructure

Delorean projects that SA1 will commence operations by the end of FY2026, delivering reliable revenue streams. The company aims to achieve final investment decisions and begin construction on NSW1 and VIC1 within the next year, scaling its BOO portfolio to meet accelerating demand for renewable gas. This growth trajectory positions Delorean as a key player in Australia’s transition to sustainable energy solutions.