Worlds largest LBG factory in operation


Biokraft AS is successfully operationalizing the world´s largest factory for production of liquid biogas fuel (LBG).

The factory is located at Skogn in Mid-Norway. The operational start-up of the factory commenced in June 2018. The factory has been built under a turn-key contract with Swedish entrepreneur Purac AB, and the factory is fully (100%) owned by Biokraft AS.

  • Since June our start-up has proceeded successfully according to plan, says Håvard Wollan, CEO of Biokraft AS.
  • We are of course very pleased with this, and I would like to thank our teams at Biokraft, Scandinavian Biogas and Purac for their consistent and good effort throughout this summer safeguarding a successful start-up for us at Biokraft, Wollan continues.

Biokraft´s factory at Skogn will initially produce 12,5 million normal-cube-metres (Nm3) of renewable Methane (biogas), with an energy contents of approximately 125 GWh per year. Biokraft intends to double this production capacity as next step at Skogn, bringing the total run-rate output to 250 GWh per year.

The primary feed stock for the factory is waste and byproduct from the Norwegian fish farming industry and process water from the pulp and paper industry.

Biokraft is currently spearheading two major R&D projects related to the factory at Skogn - EU funded EffiSludge for LIFE and Norwegian Research Council funded COMPLETE.

With the factory entering the operational phase, the core demonstration phases for both the EffiSludge for LIFE and COMPLETE projects have also been initiated.

EffiSludge for LIFE is part of the European LIFE Programme on Climate Change Mitigation (project number: LIFE14/SE/CCM 000221). The aim is to implement integrated condition of operation allowing energy and chemicals saving for the wastewater treatment plant processing effluents from the mill. This is a joint project between Biokraft, Scandinavian Biogas and Norske Skog.

The aim of R&D project COMPLETE (project number: EnergiX 256281/E20) is to successfully recirculate and utilize nutrients of Biokraft´s own byproducts in order to cultivate algae and polychaetes which may in turn provide ingredients for animal feed, including potentially fish feed. This significant innovation project is undertaken in collaboration with Scandinavian Biogas, NTNU, NIBIO, SINTEF Ocean and is financed by the Norwegian Research Council and Biokraft AS.

  • Our factory is a good example of a desired and necessary industrial manifestations in the new circular bio-economy, says Wollan.

The liquid biogas fuel (LBG) will be bought and distributed by AGA and utilized as vehicle fuel in public transportation busses and increasingly also in private sector heavy transportation haulers.

  • Our market view is consistent with a continuing strong demand-driven growth for liquid biogas fuel in the coming years, and in particular from the heavy transportation segment. We also believe the application of LNG and LBG in the maritime sector will continue to show strong growth in the coming years, says Wollan.
  • We are very pleased to see this fruition of the investment and position we took in Biokraft AS many years ago, says Ståle Gjersvold, CEO of TrønderEnergi AS.
  • We succeeded with the collaboration in Biokraft Marin several years ago, and now we are succeeding with the world´s largest LBG factory at Skogn, Gjersvold continues.
  • As the majority owner of Biokraft AS, we are very pleased with the company reaching this important milestone, says Matti Vikkula, CEO of Scandinavian Biogas.
  • Biokraft is well positioned in the rapidly growing market for liquid biogas fuel in Scandinavia, Vikkula continues.
  • Transforming the heavy transportation sector to a zero emission sector is absolutely necessary in order to reduce overall CO2-emissions, says Wollan.
  • As a bonus, executing on this market trend will generate tens of thousands of new jobs in Scandinavia, Wollan continues.

About Biokraft AS

Biokraft AS is a Norwegian privately held company headquartered in Trondheim, Norway. The company is currently operationalizing the worlds´s largest factory for production of liquid biogas fuel and is at the forefront of the market trend of successfully transforming the heavy transportation sector to a zero emission sector, by utilizing liquid biogas fuel in heavy transportation vehicles. Biokraft AS is fully owned by Biokraft Holding AS, which is owned by Scandinavian Biogas Fuels International AB (majority owner), TrønderEnergi AS, Joytrack AS and Cora Holding AS.

About Scandinavian Biogas Fuels International AB

Scandinavian Biogas sells biogas-based renewable energy and related services. The Group provides leading expertise in the purification process for upgrading biogas to vehicle fuel quality and in utilizing reject products from the digestion process as bio-fertilizer. The Group invests in owned or leased production facilities primarily in the Nordic region, with the Group's expertise available as a service in other markets.

About TrønderEnergi AS

TrønderEnergi is a renewable energy company based in Mid Norway. TrønderEnergi owns and operates both water and wind power and runs one of Norway's largest grid companies.

TrønderEnergi has around 400 employees and manages renewable energy assets for around 12 billion NOK. Ståle Gjersvold is CEO of TrønderEnergi. TrønderEnergi is owned by 24 municipalities in the south of Trøndelag, KLP and NEAS.

Source: Scandinavian Biogas