Norway-headed developer of production facilities for biocarbon and other carbon-neutral products, Vow Green Metals AS has signed a biocarbon offtake agreement with compatriot Elkem ASA, one of the world’s leading providers of advanced silicon-based materials.
The supply agreement is for the annual delivery of 15,000 tonnes of biocarbon to Elkem from Vow Green Metals’ large-scale 20,000 tonnes per annum production plant currently under development at Treklyngen Industrial Park, Hønefoss.
The duration of the agreement is five years with an option for a further five-year extension by Elkem of the contract and enters into force when the first large-scale biocarbon volumes are produced and the ongoing qualification process to ensure an optimized and competitive product is completed.
Elkem aims to be part of the solution to combat climate change – and to be one of the winners in the green transition. Our mission is to provide advanced silicon-based materials that shape a better and more sustainable future, and we have a climate roadmap that aims to reduce emissions towards net zero while growing our business. Replacing fossil carbon sources with biocarbon in our smelting operations is a key potential for reducing our fossil CO2 emissions, and this supply agreement with Vow Green Metals is part of our efforts to develop competitive sourcing of biocarbon. We aim to increase our share of biocarbon to 50 percent by 2030 globally, said Inge Grubben-Strømnes, SVP for Silicon Products at Elkem.
In line with Vow Green Metals’ commercial strategy, the company retains the remaining available volumes, exceeding 5,000 tonnes, to further mature and develop collaborations with other industrial offtakes to meet the increasing demand for biocarbon.
Today we celebrate a major milestone in our efforts to build a new green industry as we are demonstrating that biocarbon is a commercially mature product. This supply agreement with Elkem paves the way for biocarbon production for the metallurgical industry to play an important role in the green transition, said Cecilie Jonassen, CEO of Vow Green Metals.