Preem, RenFuel and Rottneros assess the construction of the world's first lignin plant for biofuels

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Type of post: NEWS IN BRIEF.

Last September, the Blog reported that Rottneros and RenFuel had entered into an agreement to initiate deliveries of lignin from Rottneros’s pulp plant in Vallvik (Söderhamn, Sweden) to a RenFuel pilot plant in Bäckhammar (region of Värmland, Sweden). This facility is focused on generating Lignol® (lignin oil), a product that can replace fossil oil and be used as raw material in the production of renewable gasoline and diesel (see Rottneros to provide RenFuel with lignin for the production of Lignol, 7/9/2017).

It was already known that Preem (the largest fuel company in Sweden) was interested in the final processing of Lignol. Now, it has been confirmed that this company and Renfuel are assessing, in collaboration with Rottneros, the construction of the world’s first lignin plant for biofuels at the pulp mill in Vallvik (press release, 24/5/2018). The facility is expected to produce an annual volume of 25,000-30,000 tons of lignin and will be completed in 2021.

Figure 1. Dick Carrick (RenFuel) and Petter Holland (CEO of Preem). Photo: Fredrik Kron.

If the collaboration moves forward, Preem will be the first fuel manufacturer in Sweden to use lignin in its production. Via the company Lignolproduktion AB, which is jointly owned by Preem and RenFuel, the aim is to reach a total annual production capacity of 300,000-500,000 tons of lignin, based on the assumption that more plants similar to that in Vallvik are established in the future.

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