Swedish electro-fuels (eFuels) project developer Liquid Wind AB has announced a new electrofuel (eFuel) project in Örnsköldsvik, Sweden. The new eFuel project will be carried out in close collaboration with municipal energy utility Övik Energi AB as a development partner and supplier of biogenic carbon dioxide.
Liquid Wind, a leading developer of eFuel facilities, will be responsible for the development of the project starting in the spring of 2025.
The new site is planned to be one of Europe’s largest facilities for the production of eFuels.
Once operational, the facility will produce approximately 100,000 tonnes of eMethanol per year, twice as much as the previously planned eFuel facility in Örnsköldsvik.
FlagshipONE as it was called was originally developed by Liquid Wind and Övik Energi before Danish energy utility Ørsted A/S acquired full ownership of the project in December 2022.
A groundbreaking ceremony was held in May 2023, however, Ørsted pulled the plug on the project in August 2024 as part of a Group business realignment citing a determination for the business case.
Growing demand for low-carbon fuels and chemicals
eFuel production facilities are needed to meet the growing demand for low-carbon fuels and support the phase-out of fossil fuels in hard-to-abate sectors such as shipping, aviation, and the chemical industry.
I am very pleased to announce our new collaboration with Övik Energi. We have already been working together for a few years, so we are glad that this new partnership has now come together. We see a very strong desire from customers and fuel users to transition to sustainable fuels, something our facility in Örnsköldsvik will contribute significantly to. Our new eFuel project is already underway, and we are looking forward to bringing it to reality, said Claes Fredriksson, CEO and Founder of Liquid Wind.
According to figures from the International Energy Agency (IEA), IHS Chemical (IHS), and International Maritime Organization (IMO), the total available market for green methanol is projected to grow to between EUR 3–5 billion in 2025 and EUR 16–20 billion in 2030.
By 2030, the share of the chemical industry, including methanol-to-olefins (MTO) – methanol-to-propylene (MTP4) is expected to be 32 percent, leading to a diversification of the green methanol market.
We’re thrilled that Liquid Wind remains dedicated to setting up large-scale eFuel production in Örnsköldsvik. We are better positioned than ever to contribute to the green transition, thanks to our ability to operate our combined heat and power plant entirely on renewable energy. Together with Liquid Wind, we are strengthening our sustainability initiatives in Örnsköldsvik and fostering the industrial collaboration that happens every day at the High Coast Innovation Park business cluster, said Roland Nordin, CEO of Övik Energi.
