New liquid biogas plant on the horizon in Port of Gothenburg

Swedish energy infrastructure firm Nordion Energi and energy company St1 have signed an agreement for the supply of liquid biogas (LBG) in the Port of Gothenburg where Nordion Energi plans to set up a new facility.

The new LBG facility in the Port of Gothenburg will liquefy biogas which will then be transported to customers in different parts of the country, aiming to replace fossil fuels in shipping, heavy road transport, and industries.

Under the cooperation agreement with Nordion Energi, St1 will purchase parts of the capacity.

According to the partners, the plant in the Gothenburg port will be the first of its kind to be directly connected to the West Swedish gas network. After liquefaction, the liquefied biogas will be temporarily stored in a tank before onward delivery to the customer, either by loading onto trailers or by being directly bunkered as ship fuel via a pipeline.

The plant will be able to liquefy 250 GWh of biogas annually. The capacity not used by St1 will be available to other actors who need to restructure their activities, Nordion Energi explained.

Investment decisions for the facility are scheduled to be taken before the end of the year.

“Biogas is an important part of our energy transition, and we are investing heavily in the expansion of both the production and distribution of liquid biogas. Collaborations with players such as Nordion Energi give us the opportunity to expand our production and sales of biogas and are an important enabler for supplying, among other things, the transport sector with locally produced LBG,” said Matti Oksanen, Director of the Gas business at St1.

“This is a great opportunity to reach out with biogas to ships, road transport and also industries that are not directly connected to the gas grid. For us, it is important to bring St1 — a player that invests heavily in biogas and is serious about the energy transition. Through the collaboration, we are taking a new step towards enabling more people to gain access to biogas,” commented Carolina Wistén, Marketing Manager at Nordion Energi.