The construction of the pyrolysis plant of Green Fuel Nordic Oy in Lieksa receives green light

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Type of post: NEWS.

After years of planning, the biofuel production plant of Green Fuel Nordic Oy in Lieksa will soon be a reality. The project has now amassed the required funding and the company's board of directors has made the decision to order the construction of the plant. In addition to the funding, legislation changes regarding the blending mandate also impacted the confirmation of the investment.
Press release: “Major Regional Investment in Lieksa”, 22/3/2019.

Figure 1. Logo of Green Fuel Nordic Oy

Location
Lieksa (Finland).
Investment
- The first phase of the investment is worth approximately 25 M€.
- Future plans involve gradually building additional production units.
Feedstocks
- Effluents from the forestry industry (sawdust from saw mills and crown trunks).
- Wood from first thinning.
The raw material to be fed into the plant also partially will work as an energy source for the production process.
Products
- Wood-based bio-oil. It can be used for heating and transport fuel in place of light fuel oil, as well as raw material for chemicals and plastics.
- Ashes. They can be used as fertiliser.
Technology
Pyrolysis.
Employment effect
The first phase will bring a hundred new jobs (including indirect employment) to the Lieksa area. Future plans will increase the total effect to several hundred new jobs.
Start-up
Commercial operation could commence in the year 2020.

The project is backed by North Karelia-based venture capitalists: Joensuun Kauppa ja Kone Oy, represented by Kyösti Kakkonen (29.9%); Deeputi Oy, represented by Matti Virtaala (approx. 18%) and Arto Hartikainen (approx. 18%). The total ownership and guarantor liability amount of these majority shareholders is approximated at 10 M€. In addition, the North Karelia ELY Centre is funding the construction with a contribution of 7 M€. Timo Saarelainen (Green Fuel Nordic Oy CEO) is also involved in an ownership role with a share of approximately 11%.

The city of Lieksa has invested a total of approximately 2.8 M€ in the development of the biorefinery and terminal area (partially through EU project funding). The city of Lieksa will continue the completion work in the area in the early summer, with the asphalting of the bioterminal and the construction of the Talttatie road leading to the area. An industrial spur line is also planned for the area.

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