Finnish state-owned energy firm Gasum has signed a deal with Norway’s Vireo to purchase all the bio-LNG produced at the latter’s Hardanger biogas plant in Norway.
Biogas plant developer Vireo announced on Wendesday the closing of a financing agreement for the construction of the Hardanger bio-LNG facility located in Husnes Industriomrade on the Norwegian west coast.
According to the firm, the plant will process approximately 125,000 tons of feedstock annually, consisting of manure, fish, and food waste.
It aims to produce around 90 GWh of liquefied biomethane each year, which is equivalent to 4,500 households’ annual consumption of electricity in Norway.
Founded in 2021, Vireo specializes in bio-LNG production plants and it aims to become “the leading bio-LNG producer” in Norway.
The company has multiple plants under development across the country, and Hardanger is the first.
Vireo is backed by Swen Impact Fund for Transition 2, an infrastructure fund managed by French asset manager SWEN Capital Partners.
Gasum, one of the biggest providers of biogas in the Nordics with over 50 liquefied biogas filling stations in the region, will offtake all the produced bio-LNG from the plant.
The Finnish firm is also significantly boosting its production of bio-LNG to supply it to its customers in the maritime sector and in the heavy-duty road transport sector.
Gasum’s strategic goal is to bring 7 TWh of biogas yearly to the market by 2027.
Earlier this year, Gasum joined forces with Swedish shipping firm Sirius to order one LNG bunkering vessel at Turkiye’s RMK Marine.
