Fusion Fuel Green Expands LPG Distribution with New Bobtail

Fusion Fuel Green PLC, a diversified energy platform, has expanded its Al Shola Gas LPG distribution capabilities with the addition of a new bobtail tanker. The new vehicle is expected to generate approximately $1.6 million in annual recurring revenue once it reaches its target delivery volume.

Al Shola Gas, an industrial liquefied petroleum gas (LPG) engineering and distribution company based in the United Arab Emirates (UAE), now operates a fleet of 53 vehicles, including three LPG bobtails. The new bobtail is expected to deliver approximately 200 metric tons of LPG per month, translating to between $109,000 and $136,000 in monthly revenue. This new addition is part of the company’s strategy to grow its LPG distribution business and improve delivery reliability.

The bobtail has an approximately 17,800-liter LPG capacity and is designed to operate 10 to 12 hours per day, seven days a week. It will complement the existing bobtail fleet, which includes a larger-capacity unit delivering around 450 metric tons of LPG per month, and a smaller unit delivering between 250 and 325 metric tons per month. This expanded capacity is expected to support the company’s growing distribution needs and enhance its competitive position in the UAE market.

In addition to the new bobtail, Al Shola Gas has obtained a Petroleum Products Permit from the Dubai Supreme Council of Energy. This permit authorizes the company to continue its gas cylinder distribution, transport, sale, and storage activities, as well as the bulk transport, distribution, and sale of LPG via tanker. The permit was obtained under Dubai’s Executive Council Resolution No. 85 of 2025, which requires all persons engaged in petroleum products trading activities to hold a valid Petroleum Products Permit.

The company plans to further expand its distribution capabilities by adding a smaller-format bobtail currently in production. This unit is designed to serve customers in congested areas that are difficult to access with larger vehicles, thereby broadening the company’s addressable customer base.

Frederico Figueira de Chaves, CEO of Fusion Fuel Green PLC, commented on the new bobtail’s significance. "The delivery of this new bobtail is a tangible example of how we are investing in assets that can directly translate into additional recurring revenue," he said. "At target run-rate, this single unit is expected to generate approximately $1.6 million in annual recurring revenue, while also increasing delivery reliability and reducing our reliance on third parties."

Fusion Fuel Green PLC operates through its subsidiaries, providing a range of energy services, including the design, supply, and maintenance of LPG systems, as well as the transport and distribution of LPG across commercial, industrial, and residential sectors. The company also offers engineering and advisory services for hydrogen solutions and biomass-powered industrial steam solutions. Additionally, the company holds a portfolio of uranium and natural gas royalty and other interests across Canada, Colombia, and Argentina through its subsidiary Royal Uranium Inc.

The new bobtail is expected to support the company’s strategy of growing its recurring, cash-generative energy businesses in the UAE. The company remains focused on expanding its distribution capabilities and improving its competitive position in the market.