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Scandinavian Biogas signs multi-year bioLNG deal

Scandinavian Biogas signs multi-year bioLNG deal
In Sweden, Scandinavian Biogas is increasing production capacity at Scandinavian Biogas Södertörn from the current 80 to 120 GWh. To be completed by the end of 2022, the expansion includes both an increased gas production capacity and a liquefaction plant to produce bioLNG (photo courtesy Scandinavian Biogas).

Sweden-headed biogas project developer and fuel producer Scandinavian Biogas Fuels International AB (SBF) has announced that it has signed a multi-year bioLNG supply agreement to the transport sector in the Nordic region.

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According to a statement, the agreement with the undisclosed client(s) has a term of “several years” and the bioLNG deliveries will begin shipping in 2023.

The undisclosed but “large volumes” of bioLNG will contribute to a sustainable circularity for the transport sector.

It is of course gratifying for us to be trusted to be on this journey and to be able to contribute to the expansion of biogas in the Nordics, said Sohrab Moshiri, Group Head of Sales Scandinavian Biogas.

The bioLNG is derived from organic waste that is converted into biofertilizer and biogas, upgraded into biomethane aka renewable natural gas (RNG), and then liquefied.

The deliveries are intended from Scandinavian Biogas’ production facilities in Sweden.

Our biogas is a 100 percent renewable Swedish product. It is a step towards making Sweden less dependent on fossil natural gas, said Matti Vikkula, CEO of Scandinavian Biogas.

The order is worth approximately SEK 300 million (≈ EUR 27.67 million) at current market prices, which the company says is “in line with communicated growth plans.”

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