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Scandinavian Biogas and Mönsterås Biogas reveal joint biogas plant plans

Sweden-headed biogas technology providers and plant operators Scandinavian Biogas AB has announced that it has signed a cooperation agreement with biogas plant project developer Mönsterås Biogas AB to jointly build and operate a large-scale biogas plant in Mönsterås in southeast Sweden. The parties have formed a joint development company, Mönsterås Biogasproduktion AB as a vehicle for the collaboration.

Located on the southeast coast in the county of Kalmar, Mönsterås municipality is one of the most animal husbandry and equine intensive municipalities in the country and many of the farmers are looking to expand or intensify their operations. However, the large volumes of animal manure generated potentially pose an environmental problem, especially considering the region’s close proximity to the Baltic Sea.

Mönsterås Biogas, a biogas project development company set up by 22 farmers has been seeking to address the issue by developing a biogas plant as a means to manage the manure. In April 2017, the company was awarded a SEK 108.2 million (≈ EUR 10.75 million) investment grant by the Swedish Environment Protection Agency (Naturvårdsverket) through its Climate Step (Klimatklivet) programme.

We have developed a good concept, but we are first and foremost farmers and do not have the necessary industrial skills to take the project to completion in the best possible way. We have therefore chosen to continue the project together with Scandinavian Biogas to bring in the experience and operational knowledge that we lack, said Olof Boson, Chairman of Mönsterås Biogas.

To that end, Scandinavian Biogas and Mönsterås Biogas have signed a cooperation agreement in which the parties will jointly continue to develop the project –  to build and operate a large-scale manure-based biogas plant in Mönsterås. The parties have formed a joint development company, Mönsterås Biogasproduktion AB, which will form the basis for future production from the plant.

Manure to LBG and biofertiliser

The biogas plant will treat manure generated from the beef, pork and poultry farming in the area. From this feedstock, liquefied biomethane (LBG) and various fractions of high-quality biofertiliser will be produced. The plant will be designed to treat 99 000 tonnes of manure to produce 120 GWh of biogas, and approximately 70 000 tonnes of high-value digestate annually.

Mönsterås is a great place for this type of project. There are a lot of raw materials, very strong local support, and an engaged partner. An interesting biogas customer may well be the potential biogas ferry between Oskarshamn and northern Öland as Oskarshamn’s municipality have now conducted a preliminary study, said Michael Wallis Olausson, Deputy CEO of Scandinavian Biogas and CEO of the newly formed development company.

Within the framework of the new development company, the project will now enter the next phase with the aim of commencing construction of the facility in 2019.

The cooperation between Mönsterås Biogas and Scandinavian Biogas significantly increases the realisation prospects for the project, and it is a project which is very important for the development of the agricultural sector in the municipality, commented a notably pleased Anders Johansson, Municipal Commissioner, Mönsterås municipality.

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