As announced today the Biozin project, a consortium with Biozin Holding AS, Bergene Holm AS and Shell plc, was invited to grant preparation the European Climate, Infrastructure and Environment Executive Agency (CINEA) in relation to the Innovation Fund Large Scale Projects call (The Innovation Fund).
The €75 million grant will be distributed over the construction period, and first 10 years of operation, of the production facility planned in Åmli, Norway.
When completed the planned production facility will convert sustainable woody biomass residues, into advanced low carbon fuels for road and aviation customers. The facility will utilize Shell’s developed IH2® technology for the conversion process. The plant will save at least 2.57 million tonnes of CO2 emissions over the first 10 years of operations, and will cost more than €1 billion. Start- up is expected between 2026 and 2028, subject to a final investment decision.
We are delighted with this support which provides a valuable contribution to the project. The team behind the application made a massive collaborative effort and were able to highlight the strengths and environmental benefits of the project. The Innovation Fund’s response emphasizes this and the importance of the new technology we are going to deploy.Says Biozin Holding AS CEO Thomas Skadal.
Shell plays a key role in the consortium and has provided capital and project resources to accelerate the development of the project.
Shell’s General Manager for Advanced Biofuels, Andrew Murfin, welcomes the support from the European Innovation Fund. “It confirms the strong alignment between EU objectives, Shell’s low carbon fuel strategy and the setup of the Biozin project. This can be a great opportunity to deploy the innovative IH²® technology on commercial scale.”
In full operation, the proposed factory would convert approximately 1000 dry tonnes of biomass per day. With more than 70 years of wood industry experience Bergene Holm AS will play an important role in the value chain.
Erland Løkken, CEO of Bergene Holm AS commented “Bergene Holm is very pleased that the company it founded have reached a point where it is recognized by Shell and the Innovation Fund. The consortium has proven its ability to achieve the projects high ambitions and we are confident in its future success.”.”
The Innovation Fund’s Large-Scale Projects are projects with a capital expenditure above €7.5 million. Biozin participated in the second call for grants which closed on March 3, 2022, with over 130 other project proposals.
Enova is the responsible government agency for Norway’s participation in the EU innovation fund and has provided support to Biozin as an applicant. Enova CEO, Nils Kristian Nakstad, said “Biozin is a flagship project that is important to Norway and to Europe. Enova is proud to have supported the application process as Norway’s national contact point to the EU Innovation fund. This serves as an inspiration to our continued work.”
Biozin Holding AS is a Norwegian company currently owned by Biozin AS, a wholly-owned subsidiary of Bergene Holm AS. Biozin Holding AS was established to produce renewable fuels from Norwegian sawmills and forestry residues. Development of the site in Åmli in Agder, Norway has commenced.
Bergene Holm AS is the second largest sawmill company in Norway, with about 440 employees and turnover of more than 2.2 billion NOK. Bergene Holm AS operates 7 production facilities and other businesses in the South of Norway and has more than 70 years of experience from the Norwegian wood industry.
Shell plc As part of our commitment to accelerate the transition to net-zero emissions, purposefully and profitably, by 2050, Shell is growing its low carbon fuels portfolio. Last year Shell announced its ambition to increase the production of renewable fuels eight-fold, and this includes three categories of low carbon fuels: advanced biofuels, renewable natural gas (RNG) and new fuels (as well as Hydrogen).
IH²® process is an advanced hydropyrolysis technology that uses catalyst processes to remove oxygen from biomass to produce hydrocarbon products from the remaining material. Shell has acquired exclusive rights to use and develop the technology into commercial scale application.
The carbon intensity of Shell’s products depends on the feedstocks chosen and the process and technologies used. New technologies are enabling our progression from crops to more sustainable alternative feedstocks, such as forestry residues, agricultural waste, inedible oils or crops (cellulosic biomass) and manure. This improves the sustainability of the products for our customers, and it is our intention to transition towards wastes as our primary feedstocks in the future.
Biozin Holding AS: CEO, Thomas Skadal, +47 905 08 216, TS@biozin.no, Website: www.biozin.no
Shell: Corporate Relations Manager, Norway, Jan Soppeland, +47 93 61 22 22, email@example.com