October 15th, 2026 | 05:27 CEST
Bilfinger, Zefiro Methane, Waste Management – Environmental Remediation: A Business for Three Specialists
Created and Published on Behalf of Zefiro Methane Corp.
Environmental damage often occurs quickly, but remedying it costs time and money. Environmental Action Germany reported on 13 October that inspections in September had found uncontrolled methane leaks at gas facilities in northern Germany, western Germany and the Netherlands. The environmental campaigners see these as possible breaches of the EU Methane Regulation. Such reports are likely to spur operators into action. Those who decommission facilities, decontaminate legacy sites, plug orphaned wells or recover energy from waste could benefit. If successful, cleaning up becomes a business. We therefore take a closer look at Bilfinger, Zefiro Methane and Waste Management.
time to read: 4 minutes | Author: Armin Schulz
ISIN: Zefiro Methane Corp | CA98926D1069 , BILFINGER SE | DE0005909006 , WASTE MANAGEMENT (DEL.) | US94106L1098
Author
Armin Schulz
Born in Mönchengladbach, he studied business administration in the Netherlands. In the course of his studies he came into contact with the stock exchange for the first time. He has more than 25 years of experience in stock market business.
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Bilfinger: Guidance Lowered, but Demand is Picking Up
Old facilities eventually have to be decommissioned, and Bilfinger provides services in this area as well. Its offering includes decommissioning, decontamination and dismantling. At the end of April, the group announced a contract from Germany's Federal Company for Radioactive Waste Disposal (BGE). The Mannheim-based company is developing technology to retrieve nuclear waste from the Asse II mine, where around 126,000 drums are stored. The technology includes remotely controlled machines and a digital twin that simulates the recovery in the control room. However, this is not its main focus, as Bilfinger earns most of its revenue from plant maintenance and modernisation. On October 5, a framework agreement with Delamine in Delfzijl was added.
Operations are currently going through a rough patch. On September 16, Bilfinger lowered its 2026 guidance because the second half is falling well short of expectations. Revenue is now expected to be EUR 5.3 to 5.7 billion, compared with EUR 5.4 to 5.9 billion previously. The EBITA margin is 3.2 to 3.6%, compared with 5.8 to 6.2% previously. The accelerated Agile cost-cutting programme is intended to deliver around EUR 75 million annually from 2028 and help boost the margin. The setback is bitter.
Meanwhile, demand is picking up. At an appearance in Mannheim on October 8, the management board said it had increased noticeably in recent weeks. In September, EWE Gasspeicher commissioned Bilfinger to provide gas treatment for the Huntorf hydrogen storage facility. The Mannheim-based company is deploying its H2Dry technology commercially for the first time. The storage facility is due to be connected to the hydrogen core network in 2028. On November 11, Bilfinger will present its third-quarter results. If demand translates into revenue, this could mark a turnaround for the group.
Zefiro Methane: New Contracts for the Remediation of Orphaned Wells
Orphaned oil and gas wells that are no longer being maintained must be plugged. Who does the job? Zefiro Methane. On September 8, the company announced a government-funded contract worth USD 11.5 million, running from November 2026 through June 2029. A week later, on September 15, three federally funded projects worth USD 1.9 million for 12 wells in Ohio and Pennsylvania were added. Zefiro was the only bidder on two of the three projects. Work is due to begin in December 2026 or January 2027.
The figures for the financial year ended June 30 are also encouraging. On September 28, Zefiro reported revenue of about USD 42.5 million, up from USD 32.4 million the previous year. Adjusted EBITDA turned from minus USD 4,020,772 to plus USD 3,752,887. Gross margin rose to 29.2%, up from 23.0% the previous year. In the fourth quarter alone, revenue rose to USD 9.3 million, compared with USD 8.0 million. Added to this is the USD 19.6 million contract in Ohio, the largest government contract in the company's history. Operations are going well, providing a tailwind for the company.
Zefiro is also expanding geographically. On September 22, the company announced its first operations in Indiana and Michigan. An eight-week carbon storage project worth around USD 750,000 is under way in eastern Indiana, the first of its kind for Zefiro. On September 30, Zefiro completed its second project in Cuyahoga Valley National Park. For the 2027 financial year, management aims to convert the largest contracted pipeline in the company's history into revenue. In a research report on October 13, GBC analysts issued a buy recommendation for Zefiro, with a price target of USD 1.50, equivalent to CAD 2.15. They expect further growth if Zefiro executes its project pipeline as planned.
Waste Management: Turning Landfill Gas into Natural Gas
Waste Management: Turning Landfill Gas into Natural Gas
Where there is rubbish, gas is produced. Waste Management (WM) captures this and turns it into renewable natural gas that can be fed into the grid. Three new renewable natural gas facilities came online in the second quarter: two in South Carolina and one in Florida. Together, they are expected to generate around 3.5 million additional MMBtu annually. The Renewable Energy division increased revenue from USD 115 million to USD 157 million, as reported on July 28. Operating EBITDA rose from USD 53 million to USD 71 million. Turning waste into cash.
The group is also delivering. Second-quarter revenue was USD 6,684 million, compared with USD 6,430 million in the previous year. Adjusted operating EBITDA reached USD 2,067 million, compared with USD 1,959 million in the previous year, with a margin of 30.9%. Free cash flow rose 34.5% to USD 1,104 million. For 2026, WM expects adjusted operating EBITDA of USD 8.15 to 8.25 billion. Revenue guidance of USD 26.275 to 26.475 billion is about 0.6% lower than previously, mainly due to lower volumes.
On October 27, WM will present its third-quarter results after the market closes. For the full year, the group is targeting free cash flow of USD 3.75 to 3.85 billion. If it stays within this range, WM will remain a stable partner for municipalities and businesses looking to dispose of their waste. It will then become clear whether the new renewable natural gas facilities are already making a noticeable contribution to earnings. Gas from landfills adds a second business pillar.
Conclusion
Cleaning up comes at a cost, and that is precisely where some companies find a business opportunity. Bilfinger keeps industrial plants running, dismantles them when necessary and is seeing rising demand, but still has to digest its revised 2026 outlook. If demand remains strong, margins could recover. Zefiro Methane increased revenue and margins in fiscal 2026 and secured several new contracts. According to the company, its project pipeline is the largest in its history. WM turns landfill gas into natural gas and will report its next quarterly results on October 27. All three companies know their business inside out.
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