Clean Energy Reports 95.2 Million Gallons Delivered and Revenue of $77.7 Million for First Quarter of 2019

Clean Energy Fuels Corp. (NASDAQ: CLNE) (“Clean Energy” or the
“Company”) today announced its operating results for the first quarter
of 2019.

Andrew J. Littlefair, Clean Energy’s President and Chief Executive
Officer, stated “I’m pleased with our start to 2019, and particularly
the volume growth momentum together with our continued financial
discipline. Our focus in 2019 is on increasing heavy-duty truck adoption
and the use of Clean Energy's Redeem renewable natural gas as it is the
cleanest, most affordable and immediate alternative fuel solution
available. With the help from our partner, Total, we are seeing the
first signs of success of fleets taking advantage of our Zero Now
truck financing program which is encouraging. We will also continue to
build on our improving financial performance as we exploit our existing
fueling infrastructure with increased volumes.”

The Company delivered 95.2 million gallons in the first quarter of 2019,
an 11.9% increase from 85.1 million in the first quarter of 2018. This
increase was due to growth in CNG and LNG volumes principally from
increased sales of Redeem.

The Company’s revenue for the first quarter of 2019 was $77.7 million,
including an unrealized loss of $5.0 million on commodity swap contracts
that support the Company’s Zero Now program, compared to $102.4
million of revenue in the same period last year, which included $25.5
million of U.S. federal excise tax credits for alternative fuels
(“AFTC”). The AFTC applied to vehicle fuel sales made from January 1,
2017 through December 31, 2017 and expired effective January 1, 2018.
Excluding the unrealized loss on commodity swaps of $5.0 million in 2019
and the AFTC of $25.5 million in 2018, revenue increased 7.5% for the
first quarter of 2019 compared to the prior year period, which was
driven by an 18.3% increase in volume -related revenue, reflecting
higher volumes and retail pump prices and a continued strong renewable
natural gas market. Station construction revenue was $3.2 million for
the first quarter of 2019 compared to $5.8 million in the 2018 period.
Also, 2018 included $3.9 million in revenue from the sale of used
natural gas trucks acquired in 2017 which did not recur in 2019.

On a GAAP (as defined below) basis, net income (loss) attributable to
Clean Energy for the first quarter of 2019 was $(10.9) million or
$(0.05) per share, compared to $12.2 million, or $0.08 per share, for
the first quarter of 2018. The first quarter of 2019 was negatively
affected by $6.6 million in unrealized losses from changes in fair value
of derivative instruments whereas 2018 was positively affected by AFTC
revenue of $25.5 million.

Non-GAAP income (loss) per share and Adjusted EBITDA (each as defined
below) for the first quarter of 2019 was $(0.01) and $11.2 million,
respectively. Non-GAAP income per share and Adjusted EBITDA for the
first quarter of 2018 was $0.10 and $32.4 million, respectively, which
included the AFTC revenue.

Non-GAAP income (loss) per share and Adjusted EBITDA are described below
and reconciled to GAAP net income (loss) per share attributable to Clean
Energy and GAAP net income (loss) per share attributable to Clean
Energy, respectively.

Non-GAAP Financial Measures

To supplement the Company’s unaudited condensed consolidated financial
statements presented in accordance with accounting principles generally
accepted in the United States of America (“GAAP”), the Company uses
non-GAAP financial measures that it calls non-GAAP income (loss) per
share (“non-GAAP income (loss) per share”) and adjusted EBITDA
(“Adjusted EBITDA”). Management presents non-GAAP income (loss) per
share and Adjusted EBITDA because it believes these measures provide
meaningful supplemental information about the Company’s performance, for
the following reasons: (1) these measures allow for greater transparency
with respect to key metrics used by management to assess the Company’s
operating performance and making financial and operational decisions;
(2) these measures exclude the effect of items that management believes
are not directly attributable to the Company’s core operating
performance and may obscure trends in the business; and (3) these
measures are used by institutional investors and the analyst community
to help analyze the Company’s business. In future quarters, the Company
may make adjustments for other expenditures, charges or gains to present
non-GAAP financial measures that the Company’s management believes are
indicative of the Company’s core operating performance.

Non-GAAP financial measures are limited as an analytical tool and should
not be considered in isolation from, or as a substitute for, the
Company’s GAAP results. The Company expects to continue reporting
non-GAAP financial measures, adjusting for the items described below
(and/or other items that may arise in the future as the Company’s
management deems appropriate), and the Company expects to continue to
incur expenses, charges or gains similar to the non-GAAP adjustments
described below. Accordingly, unless expressly stated otherwise, the
exclusion of these and other similar items in the presentation of
non-GAAP financial measures should not be construed as an inference that
these costs are unusual, infrequent or non-recurring. Non-GAAP income
(loss) per share and Adjusted EBITDA are not recognized terms under GAAP
and do not purport to be an alternative to GAAP income (loss), GAAP
income (loss) per share or any other GAAP measure as an indicator of
operating performance. Moreover, because not all companies use identical
measures and calculations, the Company’s presentation of non-GAAP income
(loss) per share and Adjusted EBITDA may not be comparable to other
similarly titled measures used by other companies.

Non-GAAP Income (Loss) Per Share

Non-GAAP income (loss) per share, which the Company presents as a
non-GAAP measure of its performance, is defined as net income (loss)
attributable to Clean Energy Fuels Corp., plus stock-based compensation
expense, plus (minus) loss (income) from equity method investments, and
plus (minus) any loss (gain) from changes in the fair value of
derivative instruments, the total of which is divided by the Company’s
weighted-average shares outstanding on a diluted basis. The Company’s
management believes excluding non-cash expenses related to stock-based
compensation provides useful information to investors regarding the
Company’s performance because of the varying available valuation
methodologies, the volatility of the expense (which depends on market
forces outside of management’s control), the subjectivity of the
assumptions and the variety of award types that a company can use, which
may obscure trends in a company’s core operating performance. Similarly,
we believe excluding the non-cash results from equity method investments
is useful to investors because these charges are not part of or
representative of the core operations of the Company. In addition, the
Company’s management believes excluding the non-cash loss (gain) from
changes in the fair value of derivative instruments is useful to
investors because the valuation of the derivative instruments is based
on a number of subjective assumptions, the amount of the loss or gain is
derived from market forces outside of management’s control, and the
exclusion of these amounts enables investors to compare the Company’s
performance with other companies that do not use, or use different forms
of, derivative instruments.

The table below shows GAAP and non-GAAP income (loss) per share and also
reconciles GAAP net income (loss) attributable to Clean Energy Fuels
Corp. to an adjusted net income (loss) figure used in the calculation of
non-GAAP income (loss) per share:

Adjusted EBITDA

Adjusted EBITDA, which the Company presents as a non-GAAP measure of its
performance, is defined as net income (loss) attributable to Clean
Energy Fuels Corp., plus (minus) income tax expense (benefit), plus
interest expense, minus interest income, plus depreciation and
amortization expense, plus stock-based compensation expense, plus
(minus) loss (income) from equity method investments, and plus (minus)
any loss (gain) from changes in the fair value of derivative
instruments. The Company’s management believes Adjusted EBITDA provides
useful information to investors regarding the Company’s performance for
the same reasons discussed above with respect to non-GAAP income (loss)
per share. In addition, management internally uses Adjusted EBITDA to
determine elements of executive and employee compensation.

The table below shows Adjusted EBITDA and also reconciles this figure to
GAAP net income (loss) attributable to Clean Energy Fuels Corp.:

Definition of “Gallons Delivered”

The Company defines “gallons delivered” as its gallons of renewable
natural gas (“RNG”), compressed natural gas (“CNG”) and liquefied
natural gas (“LNG”), along with its gallons associated with providing
operations and maintenance services, in each case delivered to its
customers in the applicable period, plus the Company’s proportionate
share of gallons delivered by joint ventures in the applicable period.

The table below shows gallons delivered for the three months ended
March 31, 2018 and 2019:

Sources of Revenue

The following table represents our sources of revenue for the three
months ended March 31, 2018 and 2019:

Today’s Conference Call

The Company will host an investor conference call today at 4:30
p.m. Eastern time (1:30 p.m. Pacific). Investors interested in
participating in the live call can dial 1.877.407.4018 from the U.S. and
international callers can dial 1.201.689.8471. A telephone replay will
be available approximately two hours after the call concludes
through Sunday, June 9, 2019, by dialing 1.844.512.2921 from the U.S.,
or 1.412.317.6671 from international locations, and entering Replay Pin
Number 13690206. There also will be a simultaneous live webcast
available on the Investor Relations section of the Company’s web site at www.cleanenergyfuels.com,
which will be available for replay for 30 days.

About Clean Energy Fuels

Clean Energy Fuels Corp. is the leading provider of natural gas fuel for
transportation in North America. We build and operate CNG and LNG
vehicle fueling stations; manufacture CNG and LNG equipment and
technologies; and deliver more CNG and LNG vehicle fuel than any other
company in the United States. Clean Energy also sells Redeem™ RNG fuel
and believes it is the cleanest transportation fuel commercially
available, reducing greenhouse gas emissions by up to 70%. For more
information, visit www.cleanenergyfuels.com.

Safe Harbor Statement

This press release contains forward-looking statements within the
meaning of Section 27A of the Securities Act of 1933, as amended, and
Section 21E of the Securities Exchange Act of 1934, as amended,
including statements about, among other things, the Company’s
expectations regarding its 2019 results; the Company’s ability to
convert heavy -duty truck fleets with whom it is in discussions into
participants in the Company’s Zero Now truck financing program;
the success of the Zero Now program generally and its effect, if
any, on the U.S. natural gas trucking market and the Company’s
performance, financial condition and ability to execute its strategic
initiatives; the state of the natural gas vehicle fuels market,
including the level of adoption of natural gas vehicle fuels generally,
and specifically in the trucking sector, and with respect to renewable
natural gas; and the Company’s supply agreement with BP and its effect,
if any, on the Company’s Redeem renewable natural gas business.

Forward-looking are statements other than historical facts and relate to
future events or circumstances or the Company’s future performance, and
they are based on the Company’s current assumptions, expectations and
beliefs concerning future developments and their potential effect on the
Company and its business. As a result, actual results, performance or
achievements and the timing of events could differ materially from those
anticipated in or implied by these forward-looking statements as a
result of many factors including, among others: the willingness of
fleets and other consumers to adopt natural gas as a vehicle fuel, and
the rate and level of any such adoption; future supply, demand, use and
prices of crude oil, gasoline, diesel, natural gas, and other vehicle
fuels, including overall levels of and volatility in these factors;
natural gas vehicle and engine cost, fuel usage, availability, quality,
safety, convenience, design and performance, as well as operator
perception with respect to these factors, in general and in the
Company’s key customer markets, including heavy-duty trucking; the
Company’s ability to execute its Zero Now truck financing
program, a key strategic initiative related to the market for natural
gas heavy-duty trucks and the effect of this initiative on the Company’s
business, prospects, performance and liquidity; the Company’s ability to
capture a substantial share of the market for alternative vehicle fuels
and vehicle fuels generally and otherwise compete successfully in these
markets, including in the event of improvements in or perceived
advantages of non-natural gas vehicle fuels or engines powered by these
fuels or other competitive developments; the availability of
environmental, tax and other government regulations, programs and
incentives that promote natural gas, such as AFTC, or other alternatives
as a vehicle fuel, including long-standing support for gasoline- and
diesel-powered vehicles and growing support for electric and
hydrogen-powered vehicles that could result in programs or incentives
that favor these or other vehicles or vehicle fuels over natural gas;
future availability of capital, which may include equity or debt
financing, in the amounts and at the times needed to fund the growth of
the Company’s business, repayment of its debt obligations (whether at or
before their due dates) or other expenditures, as well as the terms and
other effects of any such capital-raising transaction; the effect of, or
potential for changes to federal, state or local greenhouse gas
emissions regulations or other environmental regulations applicable to
natural gas production, transportation or use; the Company’s ability to
manage and grow its RNG business, in particular after the BP
Transaction, including its ability to continue to receive revenue from
sales of tradable credits the Company generates by selling conventional
and renewable natural gas as vehicle fuel and the effect of any increase
in competition for RNG supply; the Company’s ability to accurately
predict natural gas vehicle fuel demand in the geographic and customer
markets in which it operates and effectively calibrate its strategies,
timing and levels of investments to be consistent with this demand; the
Company’s ability to recognize the anticipated benefits of its CNG and
LNG station network; construction, permitting and other factors that
could cause delays or other problems at station construction projects;
the Company’s compliance with all applicable government regulations; the
Company’s ability to execute and realize the intended benefits of any
mergers, acquisitions, divestitures, investments or other strategic
measures, transactions or relationships; and general political,
regulatory, economic and market conditions.

The forward-looking statements made in this press release speak only as
of the date of this press release and the Company undertakes no
obligation to update publicly such forward-looking statements to reflect
subsequent events or circumstances, except as otherwise required by law.
The Company’s periodic reports filed with the Securities and Exchange
Commission (www.sec.gov),
including its Quarterly Report on Form 10-Q filed on May 9, 2019,
contain additional information about these and other risk factors that
may cause actual results to differ materially from the forward-looking
statements contained in this press release.

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