Cindrigo Holdings Limited has announced a significant strategic shift for its 110 MW biomass combined heat and power (CHP) plant at Kaipola, Finland, moving away from its original plan to supply steam and heat to industrial customers towards direct participation in the biomass value chain.
The company will now integrate upstream wood chip and wood pellet production with downstream heat and power generation through its subsidiary Kaipolan Energia.
Wood pellet production is expected to commence in the first quarter of 2026, with sales planned for both domestic and international markets, including other biomass facilities.
The strategic pivot comes in response to slower than anticipated progress with the initial industrial off-takers.
Management stated that the revised approach is designed to diversify revenue streams, enhance asset utilisation, and reduce dependence on individual counterparties.
"This positions Cindrigo to capitalise on Finland's expanding biomass market amid a broader European transition from coal to sustainable fuels," the company said in its announcement.
Full CHP operations may be slightly delayed as a result of the strategic realignment. However, Cindrigo emphasised that its geothermal development programme in Germany and day-to-day operations remain unaffected.
The company is currently in advanced discussions with potential joint venture and funding partners to support the biomass platform expansion.
Cindrigo overhauls Finnish biomass operations with upstream integration at Kaipola
