Suomen Lantakaasu Oy moves forward with the development of two new biogas plants in Ostrobothnia

Suomen Lantakaasu Oy, the joint venture between Valio and energy company St1, has studied the possibility of launching a biogas plant project in the Southern, Central and Northern Ostrobothnia regions. Based on the study, the company has decided to proceed with the planning of two new plants in the Pedersöre-Kruunupyy and Nivala-Sievi areas. With the planned new plant complexes, Suomen Lantakaasu Oy advances towards its production target of one terawatt-hour by 2030.

In February, Suomen Lantakaasu acquired a majority stake in Nurmon Bioenergia Oy. The company is already developing a biogas plant project in Southern Ostrobothnia. Based on a site survey, the site options for the main plant of the new biogas plant projects are limited to the Pedersöre and Kruunupyy municipalities in Central Ostrobothnia. Further development in Northern Ostrobothnia will focus on the Nivala-Sievi area, where the plant would be located along highway 28, near Valio’s dairy farms in the region.

Pedersöre-Kruunupyy and Nivala-Sievi are potential locations for the biogas plants. The Pedersöre-Kruunupyy area has a large number of farms producing manure suitable as the raw material for biogas production. The Pedersöre and Kruunupyy area is well suited to the construction of biogas plants because of the land available, it is one of the largest agricultural clusters in Finland, and the region has a strong green energy industry. The Nivala-Sievi area, meanwhile, has a significant concentration of dairy farms with a high potential for biogas activities. According to the company’s feedstock survey, farmers in both regions are interested in becoming feedstock suppliers for Suomen Lantakaasu’s biogas plant.

“We are currently carrying out more detailed studies on the most suitable sites for construction of the biogas plants. After the ongoing nature inventories and infrastructure studies have been completed, we will be able to decide on the final location of the sites and start signing letters of intent in the specified areas,” says Leena Helminen, Valio’s Director, Sustainable Business Development, with responsibility for the Suomen Lantakaasu business development.

 

Suomen Lantakaasu’s biogas business projects move forward

Suomen Lantakaasu’s two previous biogas plant projects – at Nurmo in Southern Ostrobothnia and at Kiuruvesi in Upper Savo – are approaching the investment decision stage. In both cases, preparatory groundworks for the biogas plants are already underway, and the plants are expected to become operational in 2026. Together with the Upper Savo and Nurmo projects, Suomen Lantakaasu’s new projects to be advanced represent well over half of the one-terawatt-hour production target.

“With Suomen Lantakaasu’s production plant plans moving rapidly towards the one-terawatt-hour production target by 2030, building demand is crucial. To encourage transport companies to use biogas, a comprehensive and steadfastly forthcoming refuelling infrastructure is critical so that transport companies and end customers can invest in low-emission heavy transport fleets. Our growing network of distribution stations is helping our customers drive the energy transition and reduce emissions in both agriculture and transport,” says Matti Oksanen, Director, Gas Business at St1.

Suomen Lantakaasu has launched recruitments for the procurement of feedstock, financial management and production management of the plants under construction.

 

Further information:

Valio Oy, Leena Helminen, Director, Sustainable business development, tel. +358 50 355 2004, leena.helminen@valio.fi

St1, Matti Oksanen, Director, Gas Business, tel. +358 40 483 6035, matti.oksanen@st1.com

 

arrow-right
Previous
St1 and SCA’s joint venture commences the production of renewable fuels in Gothenburg, Sweden

10.04.24

Related articles

Read all