St1 and Borås Energy and Environment begin a close collaboration in liquid biogas production in Sweden

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Energy company St1 has made an investment decision to build a plant for upgrading and liquefaction of biogas at Sobacken in Borås, Sweden.  A prerequisite for the investment decision is a long-term agreement for the purchase of raw biogas, which St1 has signed with Borås Energi och Miljö.
As part of the agreement, Bor å s Energi and Milj ös will transfer both gas filling stations for consumers in Åhaga and Hulta to St1. St1 will also develop infrastructure in the Nordic countries to distribute liquid biogas.
St1 will start construction work in the autumn and production is expected to start up at the end of 2023.  St1 has signed an agreement with Wärtsilä Gas Solutions to deliver the biogas upgrading and liquefaction plant. The project has been granted support from Klimatklivet - a Swedish investment support program aimed at projects that reduce climate impact.
St1 and Borås Energy and Environment said the partnership will create a strong value chain within renewable biofuels, where both focus on their areas of expertise. St1 will upgrade and convert the biogas Borås Energi och Miljö produces from food waste and sewage sludge, and then sell it in its distribution network.
"Our modern facilities combined with more than 30 years of experience and competence means that we within the company will be able to produce large quantities of biogas in the future.
"Through the collaboration with St1, our biogas will be able to reach a larger market", commented Magnus Kårestedt , CEO of Borås Energy and Environment.
"After a carefully carried out process, we have chosen to start a collaboration with St1, because the company has a solid and versatile track record in the energy sector and a strong growth strategy in the Nordic biogas market", Kårestedt continued.
St1 is already a leading biogas player in Sweden with approximately 30% market share in the road transport segment.  The biogas operations are located in southern Sweden and in Stockholm. The company produces, imports and exports biogas and delivers it to customers through several sales channels. St1 has six production and upgrading units for biogas in Sweden. Two of them – Söderåsen Bioenergi AB and Falkenbergs Biogas AB – are majority-owned subsidiaries.
St1 started biogas operations in Finland and Norway last year. The company collaborates with Knapphus Energi and Nor-log to build infrastructure for biogas in Norway. In Finland, St1 and the food company Valio have started a joint venture to produce renewable biogas from manure from dairy farms and other agricultural byproducts - primarily as fuel nsle for heavy transport. The jointly owned company aims for a production capacity of up to one terawatt hour (TWh) by 2030.
"At St1 we strengthen our business through strategic  long-term partnerships. Strengthening the biogas operations in our countries of operation is a concrete step as we implement our growth strategy in a consistent and long-term manner.
"We are very happy that the plans with a solid partner such as Bor å s Energi och Miljö are now becoming a reality, and together we can reduce carbon dioxide emissions from transport and to speed up the energy transition", said Matti Oksanen, director of St1's gas operations.


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