Södra, Statkraft to build Hydrofaction demo facility for fossil-free fuel

Sweden’s Södra and Statkraft are to invest about SEK 500 million ($US60 million) in a new demo facility for fossilfree fuel made from forest raw material. The project will be through the joint company Silva Green Fuel AS (Statkraft 51%, Södra 49%) in partnership with technology provider Steeper Energy AS and Norwegian financing partner Enova. The facility, based at a former pulp mill in Tofte, Norway, is expected to be in operation by spring 2019. Initial capacity will be about 4,000 litres/day.

This first step towards a full-scale facility will be used to develop both the process and the technology for producing the new biofuel from forest residues or sawdust.

Steeper Energy, a Danish- Canadian company, has licensed its proprietary Hydrofaction™ technology to Silva. The process harnesses water brought to super-critical conditions to convert biomass to high-value liquid biofuels. The biofuel produced is easily integrated into existing petroleum infrastructure and is physically comparable to fossil fuels.

The next stage of the project will be to establish a full-scale facility, with biofuel production from other types of biomass for various types of transport, including road and air.

Founded in 1938, Södra is Sweden’s largest forest-owner association, with more than 50,000 members. Statkraft is an international hydropower company, the largest renewable energy provider in Europe and the fourth-largest electricity producer in Sweden.

Södra, www.sodra.com Energy, www.steeperenergy.com

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