CNG Delivery Financing

CNG Delivery Financing Options

At CNG Delivery we eager to help you all the way. It is important to seek assistance from a lender who is experienced in funding CNG delivery operations, understands the specifics of this industry segment business and has a strong track record of successfully guiding government and commercial entities towards their financial objectives.

CNG projects are becoming more complex to finance, with shorter contracts, rising competition, and increased uncertainty surrounding project success, making the banking sector more cautious. As demand for CNG grows and pricing remains competitive, securing project financing requires a new approach tailored to these market conditions.

CNG projects can be financed either through developers’ direct funding, using accrued cash or corporate credit lines, or via limited recourse project finance structures. This method, commonly used when developers need to protect themselves from contingent liabilities or are unable to borrow sufficient capital, relies on projected cash flows and typically involves creating special purpose vehicles. These structures are often used when developers need to mitigate risk during the construction phase, as EPC (engineering, procurement, and construction) contractors are generally not large enough to bear such risks. Consequently, most CNG project financing tends to be limited recourse, with guarantees in place during construction.

Project finance has been the predominant structure for large-scale CNG projects. While direct funding has been used in some cases, project finance has enabled the industry to raise billions for major projects, especially with commercial banks, export credit agencies, and development banks as key contributors. The presence of long-term supply contracts underpins much of the funding for CNG projects, providing security to lenders by ensuring cash flow predictability. However, as the market shifts toward shorter contracts, developers must adapt to new financial models that may include a mix of short- and long-term agreements with varying risk levels.

In the evolving CNG market, financing structures are adapting to new challenges, such as shorter contract lengths and the entry of new buyers with varying credit ratings. The traditional reliance on long-term contracts with investment-grade counterparties may give way to more flexible models, including partial merchant financing. While this transition is uncertain, developers and financiers must work together to create innovative solutions that align with the new market realities.

CNG Delivery financing options come from a small network of lenders that are seasoned in financing CNG delivery commitment and equipment and can develop the right loan package for you. Whether you are looking to sign for CNG delivery services, needed retrofit equipment finance, or construct a new site, we can assist you with finding financing that meets your needs.

Based on your financial strength, project capital requirements, geographical location, and etc, CNG delivery can refer you to one of our financial partners ranging from small local privately owned bank to large worldwide recognized financial institution. CNG delivery financing and CNG equipment leasing offers attractive options for customers who want to realize fast returns on their investment when switching to CNG use. By focusing on utilizing delivered CNG and finding a partner to finance or invest in CNG delivery set up to serve your business operation you minimize your financial exposure and spread the risk. You can start saving on fuel costs right away, to create the beneficial financial returns that come with using CNG fuel.

CNG Grants and Incentives for improved IRR:

Partnerships Options

CNG Delivery applies decades of project development experience and extended rolodex of connections with experiences in energy transition funding providers. Building strong partnerships and relationships allows CNG Delivery to bring in strategic investment partners who fund high-quality projects quickly and efficiently. By facilitating capital infusion for developers, we are investing in the teams that play a vital role in driving the energy transition forward. Together, we are tackling the climate crisis, ensuring equitable access to clean energy for all, and fostering diversity within the renewable energy industry. Our streamlined processes empower our partners to focus on their expertise—project development—while our team delivers resource support and seamless access to capital.