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Outokumpu invests in biocarbon plant

Outokumpu announced that it decided to invest EUR 40 million to build a biocarbon production plant in Sassnitz, Germany, to reduce its direct emissions.

Outokumpu invests in biocarbon plant

The plant plans to produce 15,000 tons of biocarbon annually using waste wood. The plant is expected to be completed by mid-2025, with commissioning scheduled for the first half of 2026.

The new plant is to provide raw material to produce biocoke at Outokumpu's pelletizing plant in Tornio, Finland. It is reported that the introduction of biocoke by Outokumpu could reduce direct emissions by 50%, which is critical in the context of reducing free allowances under the European Emissions Trading System.

Stefan Erdmann, Chief Technology Officer at Outokumpu stated, “We are proud that our stainless steel has the lowest carbon footprint in the industry, and we are progressing steadily towards our target to reduce our emission intensity across our direct, indirect and supply chain emissions by 42% by 2030 from a 2016 base year. Currently, biocoke represents the best available technology to decrease our direct emissions and we are investigating also other innovations as well as the use of carbon capture technology to achieve further reductions.”

Outokumpu stated that it has developed a roadmap for the supply of biocoke and plans to develop the production process at pilot plants in Germany and Finland. It was reported that the plant in Mukran Port is to generate heat and electricity from by-product gases.

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