Nordic Ren-Gas, a Finnish e-methane developer, has signed a long-term offtake agreement with avanca Energy AG and its subsidiaries — avanca Renewables AG and Alternoil GmbH, Germany's largest renewable LNG distributor — for renewable e-methane produced at Ren-Gas's Tampere facility in Finland.
The deal, valued at €1 billion over its term, is among the largest commercial partnerships of its kind in Europe and creates a fully integrated, cross-border e-methane supply chain running from Finnish production to heavy-duty transport customers in Germany.
Renewable e-methane is produced by combining renewable hydrogen with captured carbon dioxide, and is chemically equivalent to biomethane. As a drop-in fuel, it can be distributed through existing gas infrastructure and used directly by heavy-duty truck operators without requiring modifications to vehicles or fuelling stations, making it one of the more immediately deployable decarbonisation options for long-haul freight.
Ren-Gas's production process integrates renewable electricity procurement, green hydrogen production, biogenic carbon capture, methanation and district heating in a sector-coupled model designed to improve energy efficiency and reduce both carbon intensity and production costs. The Tampere plant forms part of a fully permitted project portfolio that positions Ren-Gas among Europe's more advanced e-methane developers.
Saara Kujala, CEO of Nordic Ren-Gas, described the agreement as a landmark milestone for both the company and the wider European renewable e-methane market, reflecting the strength of Finland's production platform and growing commercial demand for scalable renewable fuel solutions.
Avanca Energy operates an integrated renewable LNG supply chain through its subsidiaries: Avanca Renewables AG manages sourcing of Bio-LNG and e-methane along with upstream production partnerships across Europe, while Alternoil runs Germany's largest renewable LNG distribution network, comprising 55 fuelling stations and more than 120 dispensing points operating around the clock nationwide. Together, the companies cover the full value chain from production through to logistics, buffer stocks and last-mile distribution.
The agreement secures avanca with a long-term, competitive supply of renewable e-methane that can be delivered to heavy-duty transport customers across Europe, and directly to German operators via Alternoil's existing network.
Jürgen Muhle, CEO and Chairman of avanca Energy AG, said Ren-Gas's e-methane combined low carbon intensity with technical scalability and commercial competitiveness, enabling the partnership to deliver decarbonisation value to LNG-powered operators today while demonstrating the wider potential of existing gas infrastructure to support Europe's energy transition cost-effectively.
The partnership reinforces Finland's position as a competitive production hub for renewable e-methane, and supports broader European goals around energy security and decarbonisation.
Nordic Ren-Gas and avanca/Alternoil sign €1bn renewable e-methane offtake agreement
