NordFuel announces a selection of a technology provider for its next generation bioproduct factory in Haapavesi, Finland. This decision accelerates the project towards the planned 2028 production start. Concurrently, NordFuel has initiated a financing round to ensure the completion of this state-of-the-art facility.

The collaboration with technology provider Chempolis Ltd positions NordFuel’s facility to revolutionize the conversion of forest industry’s sidestreams into sustainable biofuels and bioproducts such as bioethanol, biogas, and lignin. Chempolis is a renowned provider of groundbreaking biorefining technologies for energy, biofuel, oil, paper and chemical industries.

“We warmly thank NordFuel, that, based on thorough investigations, has chosen Finnish Chempolis as the technology supplier. In our flexible process, raw materials are efficiently refined into high-value products for rapidly growing markets. We look forward to continuing the excellent cooperation with the NordFuel team. Together we have started a journey where we act as pioneers in the transition from a fossil-based linear economy towards a bio- and circular economy,” says CEO of Chempolis Heli Antila.

The products play a pivotal role in significantly lowering transportation emissions and replacing fossil-based materials, aligning perfectly with the European Union’s Renewable Energy Directive II (RED II) and contributing to the achievement of increasingly stringent climate targets in the markets they serve. The majority of the factory’s output is intended to cater the European demand for sustainable solutions.

Setting new industry standards with advanced technology

With innovation and sustainability at the forefront, NordFuel is poised to make a significant impact on the global bioeconomy landscape. NordFuel’s commitment in Haapavesi marks a substantial bioeconomy investment, employing advanced technology for the efficient transformation of forest industry’s side streams into valuable biofuels and bioproducts.

Leveraging meticulously selected technology, the Haapavesi facility sets a new standard for operational reliability in the biofuel industry. It exemplifies a groundbreaking approach in mitigating the inherent risks associated with advanced biofuel technology, ensuring a steadfast production process.

“Chempolis’ license covers the bioethanol production technology, which is based on the so-called organosolv -process. In addition to bioethanol, the process produces high-quality, pure lignin, biogas and biochemicals”, states Matti Asikainen, the CEO of NordFuel.

Meeting the surging market demand for sustainable materials

The demand for biofuels and bioproducts is surging globally, fueled by strict environmental and climate directives that will further tighten in 2030. The market for bioethanol, European biogas, lignin, and other biomaterials is experiencing robust growth, with forecasts indicating continued expansion. NordFuel’s production capabilities will support the replacement of fossil-based substances across industries and aid in the reduction of greenhouse gas emissions from road transport. The production process also generates biogenic carbon dioxide and essential chemicals like furfural and acetic acid, further contributing to environmental sustainability.

“The establishment of our bioproduct factory significantly furthers the achievement of climate targets in our target markets. As we enhance resource efficiency, we concurrently diminish dependence on fossil fuels and cut carbon emissions. The reductions in emissions are particularly impactful within the transportation sector, yet the production of lignin and biogas also introduces significant emissions reductions across other sectors,” says Asikainen.

Strategically situated in Haapavesi, within an emerging clean energy cluster in Finland, NordFuel’s factory leverages proximity to significant wind power capacity and potential developed by Puhuri and a planned e-fuel production plant by Liquid Wind. This location, close to Finland’s principal export harbors and industrial facilities, guarantees operational efficiency and cost-effectiveness. NordFuel’s project offers compelling investment opportunities that advance climate and environmental goals, signifying a noteworthy step forward in the bioeconomy sector.

The project is introduced in greater detail on NordFuel’s webpage

Additional information:

Matti Asikainen, CEO
+358 40 5534 926

Juha Hartikainen, COO
+358 50 379 0164

Anniina Kärkkäinen, Communications Manager

NordFuel Ltd is preparing a modern bioproduct factory in Haapavesi, Northern Ostrobothnia, Finland. The bioproduct factory will produce bioethanol, lignin, biogas, and other products from domestic sawdust and forestry by-products, significantly reducing transportation emissions and replacing fossil-based raw materials and chemicals in industry. NordFuel Ltd is a subsidiary of Kanteleen Voima Ltd.

Chempolis Ltd’s formico® technologies enable the sustainable production of high-quality products such as bioethanol, biochemicals, and sulfur-free lignin from all lignocellulosic raw materials. The process broadly and flexibly utilizes lignocellulosic biomass with high material efficiency. Chempolis’s biorefining processes are designed to minimize environmental impacts and maximize social benefits globally. Chempolis’s services include biorefinery project development, technology licensing, product and application development, and piloting. The company is headquartered in Oulu, where it also offers biorefinery piloting services.