Envigas and Skellefteå Kraft to investigate large-scale production of biocarbon and pyrolysis oil in Hedensbyn, Skellefteå – With clear environmental and climate benefits

Envigas and Skellefteå Kraft plan to jointly explore the feasibility of establishing a large-scale production facility for biocarbon and pyrolysis oil in Hedensbyn, Skellefteå. This initiative would represent a significant step in the industrial transition – where the products can jointly replace fossil alternatives and thus reduce industrial carbon dioxide emissions by up to 120,000 tons of CO₂ per year.

Quote from Envigas:

Envigas already operates an established production facility in Bureå outside Skellefteå with an annual capacity of approximately 5,000 tons of biocarbon and 3,000 tons of pyrolysis oil. This facility has been crucial for the company’s development – both technically and commercially – by enabling material qualification with several industrial players in the metallurgical sector. The production now being investigated would have an annual capacity exceeding 25,000 tons of biocarbon and 20,000 tons of pyrolysis oil. We look forward to exploring this together with Skellefteå Kraft to lay the groundwork for a large-scale expansion of our operations and an increased contribution to the transformation of Swedish industry, says Lars-Gunnar Almryd, CEO of Envigas.

Quote from Skellefteå Kraft:

With renewable energy and access to renewable biomass, our region has among the best conditions in the world to establish industrial clusters that are driving the green transition forward. As an energy company, we can play a vital role in other sectors’ transitions while also harnessing the potential of circular flows, says Fredrik Jonsson, Head of Business Innovation at Skellefteå Kraft, and continues: That is why we want to assess these conditions together with Envigas. The focus is primarily on examining synergies, both within and between Skellefteå Kraft’s existing facility and an adjacent biocarbon production plant.

Facts

Envigas is the Nordic region's leading cleantech company in the industrial production of biocarbon, pyrolysis oil, and renewable energy through pyrolysis of residual biomass from the forest industry. The high-quality biocarbon is primarily used in the steel and metallurgical industries as a replacement for fossil coal, while pyrolysis oil and gas offer sustainable solutions for the energy and chemical sectors.

Skellefteå Kraft is one of Sweden’s largest energy producers with generation from wind and hydropower, heat, and bioenergy. We enable society’s electrification and future infrastructure solutions through innovation, research, and investment in renewable energy.

Biocarbon is a form of carbon produced by heating organic material at high temperatures in the absence of oxygen, in a process called pyrolysis.

The resulting material is a renewable alternative that can replace fossil coal in various industrial applications – such as metallurgy and the chemical industry.

It can also be used as a soil amendment or as a substitute for cement in concrete. In these applications, carbon is sequestered in the soil or in solid materials, creating a carbon sink and contributing to negative emissions.

Pyrolysis oil is a liquid by-product formed during biomass pyrolysis. During the pyrolysis process, a gas mixture is formed, where tar components in the gas condense into a liquid – known as pyrolysis oil.

The oil is a renewable alternative to fossil oil and can be used as fuel in heat and power production, in industrial processes, or as a raw material in the chemical industry. By replacing fossil fuels, pyrolysis oil contributes to reduced emissions and more sustainable resource use.