Uniper Begins Next Development Phase for Swedish E-methanol Project

Düsseldorf-based energy company Uniper has launched the next development stage for its Swedish e-methanol project NorthStarH2. As the company announced on 31 August 2026, contracts have been signed with AFRY, Carbon Clean, Siemens Energy, and Topsoe. The total order volume amounts to more than SEK 100 million, with the work expected to take around one year.

"NorthStarH2 is an important project in Uniper's portfolio for the energy transition," said Johan Svenningsson, CEO of Uniper Sweden. With these contracts, the company can move from early project development into the basic engineering phase and take "another important step in assessing the technical and economic feasibility of the project."

115,000 tonnes of e-methanol planned per year

The plant in Östersund, central Sweden, is designed to produce around 115,000 tonnes of e-methanol per year. Renewable electricity and biogenic carbon dioxide are planned as feedstocks. The fuel produced in this way is therefore fossil-free and, according to the company, can replace fossil fuels in sectors such as transport and the chemical industry. Uniper points out that this approach can both reduce emissions and lower Europe's dependence on imported fossil fuels.

FEED phase defines the plant concept

In the now-starting FEED phase (Front-End Engineering Design), Uniper and the contracted companies will define the technical plant concept and prepare the project for the construction phase. The partners contribute engineering expertise in electrolysis, CO₂ capture, and methanol synthesis and processing. "With these contracts, we can now develop the plant design in much greater detail and determine how NorthStarH2 will be built," explained Broghan Helgeson, NorthStarH2 project lead at Uniper. Östersund offers very good conditions for the production of e-fuels.

The participating companies also place the project in the context of hard-to-electrify sectors. Siemens Energy points to its experience in industrial electrolysis and describes the project as an important step toward large-scale e-methanol production. Topsoe sees the Nordic region as one of Europe's most ambitious markets for clean fuels. AFRY and Carbon Clean emphasize the role of e-methanol in decarbonizing shipping and the chemical industry.

Investment decision planned for 2028

Uniper intends to submit its application for environmental permitting in autumn 2026. The final investment decision (FID) is planned for 2028, with commissioning currently targeted from 2031.