Veolia project to unlock “unexplored” solution to produce CO2-neutral biofuel from pulp production

Veolia has launched what it claims to be the world’s largest biorefinery project producing CO2-neutral bio-methanol from a pulp mill.

Located in Finland, the project sets out to unlock the potential of this alternative source of feedstock for biofuel, which Veolia says is almost completely unexplored to date.

Developed in close cooperation with Metsä Fibre, the world’s largest producer of softwood market pulp and a globally significant manufacturer of sawn timber, the refinery will be based on Veolia’s industrial scale concept of commercial bioproduct-derived biomethanol production, which safely integrates the refining of crude sulphate methanol into the pulp production process.

The project will aim to contribute to European energy security while supporting the European Green Deal decarbonisation ambitions for transportation, as the industrial grade quality CO2-neutral biomethanol represents a new source of sustainable low carbon fuel replacing fossil-based fuels.

The advantage of our industrial concept is that it is replicable at around 80% of the pulp mills worldwide. It has a potential to unlock an additional, locally generated feedstock of CO2-neutral biomethanol for biofuel that could be estimated at 2 million tonnes.

“Our biorefinery project with Metsä Fibre is in line with Veolia’s strategy to develop local energy loops allowing decarbonization and energy sufficiency. It illustrates our capacity to act as an ecological transformation enabler through industrial integration across various sectors to develop scalable and sustainable solutions for locally produced CO2-neutral fuels,” commented Estelle Brachlianoff, COO of Veolia.

“The advantage of our industrial concept is that it is replicable at around 80% of the pulp mills worldwide. It has a potential to unlock an additional, locally generated feedstock of CO2-neutral biomethanol for biofuel that could be estimated at 2 million tonnes.”

The refinery, owned and operated by Veolia, will be adjacent and partly built into Metsä Fibre’s Äänekoski plant in Finland.

With an annual production capacity of 12.000 tonnes, the plant, due to come on stream by 2024, will avoid up to 30.000 tonnes of CO2 emissions per year.

The 50 million euros investment is supported by a grant from the Finnish ministry of economy and employment.

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