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Monday, 29 August 2022 08:44

Vattenfall and St1 form a new partnership

Vattenfall and St1 have signed a Letter of Intent to develop a fossil-free value chain for the production of synthetic electro fuel and the next step is to jointly conduct a feasibility study. The study aims at addressing the full value chain for the production of electro fuel from offshore wind, starting in 2029 and gradually growing towards the target of one million cubic meters.

Vattenfall and St1 will jointly conduct a feasibility study with the ambition to develop a fossil-free value chain for the production of electro fuel, through offshore wind. In the partnership, Vattenfall aims to develop an offshore wind power-based hydrogen supply infrastructure on the west coast of Sweden and St1 plans to produce one million cubic meters of electro fuels, primarily targeted for sustainable aviation fuel using fossil-free hydrogen. Such volumes equal for example the annual aviation fuel demand of Arlanda airport. First drops starting from 2029 and onwards.

"I’m very glad we are partnering with St1, two companies sharing the ambition to fight climate change. For Vattenfall, the electrification of society and industry is at the core of our business strategy. The development and optimisation of value chains based on offshore wind and fossil-free hydrogen is an interesting way forward. Our strong and growing Swedish offshore wind development portfolio of currently more than 20 TWh offers ample opportunities”, says Anna Borg, President and CEO of Vattenfall.

Two-thirds of Swedish carbon dioxide emissions today come from industry and transport. Together with industries, Vattenfall works actively with direct electrification and indirect electrification, using fossil-free hydrogen gas. Vattenfall sees huge potential for decarbonisation on the Swedish West coast for industries like refinery and petrochemicals.

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“Energy companies need to show leadership in bravely promoting and developing scalable game-changing solutions. We are very proud of the partnership with Vattenfall, as we share true dedication to deliver together this significant breakthrough in the energy transition. Strategic long-term partnerships in various areas are the key elements in the implementation of St1’s sustainable fuels investment program and it shows the importance of industry collaboration across several value chains to meet the ambitious Nordic climate targets”, says Henrikki Talvitie, CEO of St1 Nordic Oy.

In the spirit of its vision, St1 is already investing in energy transition through scalable renewable energy production. A new biorefinery is under construction on the St1 refinery site in Gothenburg. The biorefinery will have an annual capacity of 200,000 tonnes of renewable fuel production and is expected to commence its operations in 2023. It is designed to optimize the production of renewable diesel and sustainable aviation fuel. St1 already produces advanced ethanol and biogas from waste.

Vattenfall is a leading European energy company, which has electrified industries, supplied energy to people’s homes, and modernised our way of living through innovation and cooperation for over 100 years. We now want to make fossil-free living possible within one generation. That's why we are driving the transition to a sustainable energy system through initiatives in renewable production and climate smart energy solutions for our customers. We employ approximately 19,000 people and our operations are mainly based in Sweden, Germany, the Netherlands, Denmark and the UK. Vattenfall is owned by the Swedish state. For more information: corporate.vattenfall.se

St1 Nordic Oy is an energy group whose vision is to be the leading producer and seller of CO2-aware energy. The Group researches and develops economically viable, environmentally sustainable energy solutions. St1 focuses on fuel marketing activities, oil refining and renewable energy solutions such as waste-based advanced biofuels and industrial wind power. The Group has 1290 St1 and Shell branded retail stations and gas filling points in Finland, Sweden and Norway. Headquartered in Helsinki, St1 employs currently more than 1200 people. www.st1.com

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Food company Valio and energy company St1 are establishing a joint venture to produce renewable biogas from dairy farm manure and other agricultural by-products mainly as fuel for heavy-duty transport. The company to be established is targeting up to 1,000 GWh (1 terawatt-hour) of biogas production by 2030; this amount is one third of the biogas needed for Finland’s fossil-free transport roadmap. Significant emissions reductions can be achieved by using biogas for heavy-duty transport. However, the prerequisite for creating a supply and demand that aligns with Finland’s biogas target is that the biogas-powered transport fleet becomes significantly more common in Finland.

The joint venture will produce biogas mainly from cow manure, although other agricultural and food industry by-products can also be used.

There are two different alternatives for producing the biogas: one alternative is that the biogas will be produced at individual farms or at a few farms in a shared biogas plant. The other alternative is that the biogas will be produced in a larger biogas plant to which the manure would be transported from local farms. Both the alternatives are possible in Valio and St1’s joint project. Valio and St1 have estimated that in phase one, around the middle of the decade, the biogas would be produced at 2-3 concentrations.

The partners are aiming for production capacity of up to one terawatt-hour by 2030, assuming there is enough growth in the demand for biogas in transportation. This is a significant investment package, the detailed planning of which will begin now.

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St1 will distribute the joint venture’s biogas mainly through its nationwide network of fuelling stations for heavy-duty vehicles. Valio and St1 intend to transition to the increased use of manure biogas also in their own logistics.

“We have identified strategic focus areas, where we can best achieve our goal in creating a sustainable carbon cycle. By investing in renewable energy and in the transition of the energy sector while ensuring the necessary cash flow, we are solving global energy challenges. Entering the biogas business is a concrete step in the consistent and long-term implementation of our growth strategy.  Domestic manure biogas can reduce the emissions from heavy-duty transport quickly and efficiently while simultaneously improving Finland’s fuel self sufficiency. This is an opening from two Finnish players in bringing domestic manure biogas to the markets,” says St1 Oy’s CEO Mika Wiljanen.

St1 communicated earlier this spring about the start of biogas business also in Sweden and Norway.

Agricultural emissions will also decrease

Making biogas from manure decreases the methane emissions from the biological decomposition of manure. At best, milk’s carbon footprint will decrease by one quarter, when both agricultural and transport emissions reductions are taken into account.

“Valio aims to cut milk’s carbon footprint to zero by 2035. The use of manure as a transport fuel is one of the most important handprint actions in our climate programme. The intention is that dairy farms can take part in the biogas production with a low threshold. It’s clear that production must be a profitable business also from the dairy farms’ perspective,” says Valio’s CEO Annikka Hurme.

Added bonus: recycled fertilisers, bedding for animals, and substrates for vegetables

The material left over from biogas production can be used to make many valuable circular economy products.

“Liquids and dry materials left over from biogas production can be used as recycled fertilisers for fields, reducing the use of chemical fertilisers and nutrient run-off to waterways. The farmer saves money. The left over material can also be used to make bedding for animals or substrates for vegetables. This can replace the peat that is currently used,” says Juha Nousiainen, Senior Vice President, Carbon-neutral Milk Chain.

Background info for media

  • A total of ~15 million tonnes of manure is generated annually in Finland. It could be used to produce as much as 3–5 terawatts of biogas (VTT’s and LUKE’s estimated potential of Finland’s total manure).
  • 4,300 Finnish dairy farms own Valio. These farms generate about 30 percent of the manure and other outputs suitable for biogas production.
  • Traditionally, manure is stored at the farm in a slurry tank and transported to fields as fertiliser. The adverse smell of manure decreases in the biogas process.
  • About one third of the energy contained in the grass feed eaten by cows ends up in manure.
  • Manure also contains important nutrients needed by plants: nitrogen, calium, and phosphorus. The manure material left over from biogas production can be separated to dry and liquid fractions and used as fertiliser.
    • The nutrient-rich liquid is used to fertilise fields. Plants are better able to absorb especially the nitrogen, compared to the traditional spreading of manure.
    • Dry fractions can be used as phosphate fertiliser.
  • The left over dry materials can also be used to make bedding for animals or substrates for vegetables. This can replace the peat that is currently used.

VALIO FROM FINLAND – THE WORLD’S MOST INNOVATIVE DAIRY AND FOOD COMPANY

Valio, offering the taste of Nordic nature since 1905, is a brand leader and the biggest dairy business in Finland and a major player in the international dairy ingredients market. The company is owned by dairy cooperatives comprising some 4,300 dairy farmers.

Wellbeing is at the heart of Valio’s world leading technology innovations, expertise and products that are made from clean Finnish milk and other ingredients. Our product development follows in the footsteps of Nobel Prize winner A. I. Virtanen, and the company holds 350 patents in 50 countries. Our efforts to improve animal welfare are resolute, and we know that only healthy cows can produce premium milk products. Valio’s milk ranks among the cleanest in the world, and we have zero tolerance for antibiotic residue in milk.

Valio has net sales of EUR 1.8 billion and is Finland’s biggest food exporter. Valio products are found in some 60 countries and account for 25 % of Finland’s total food exports. Valio seeks strong growth in international markets and has subsidiaries in Russia, Sweden, the Baltics, USA and China.

Valio – Together we make life better.

www.valio.com

St1 Nordic Oy is a Nordic energy Group whose vision is to be the leading producer and seller of CO2-aware energy. The Group researches and develops economically viable, environmentally sustainable energy solutions. St1 focuses on fuels marketing activities, oil refining and renewable energy solutions such as waste-based advanced ethanol fuels and industrial wind power. The Group has 1.250 St1 and Shell branded retail stations in Finland, Sweden and Norway. Headquartered in Helsinki, St1 employs currently 980 people.

www.st1.com

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Wednesday, 10 December 2014 06:54

New turnaround projects for Voith in Scandinavia

Voith Industrial Services continues to boost market position with turnarounds in Scandinavia. New project at St1 refinery in Gothenburg.

Turnarounds are logistical masterstrokes: Piping and equipment in oil refineries, for example, have to be rigorously cleaned, inspected and tested, before being prepared and approved for the next trouble-free production cycle. Voith Industrial Services specializes in performing this in the shortest possible time while adhering to the most stringent safety standards and in making the facility ready for production as quickly as possible. To this end it prepares the personnel, mobilizes machinery, conducts extensive preliminary planning and reaches agreements with customers, partners and subcontractors.

voith oil goth

The provider of industrial services has just won new orders from refineries in Scandinavia, one of them at the St1 refinery in Gothenburg. The orders are for the mechanical maintenance of air coolers and heat exchangers. This process equipment transfers thermal energy from one material flow to the other and therefore ensures process stability and energy efficiency.
Chemical and petrochemical plants are subject to stringent safety requirements. This is why they have to ensure that their service provider is able to work at this high standard. In addition, the refinery required comprehensive experience and know-how in all aspects of a turnaround in order to satisfy all internal and statutory requirements. Voith met these criteria.
The core project for ST1 in Gothenburg is set to be completed within four weeks, supported by around 70 Voith employees. The St1 refinery managers had cooperated with Voith on previous projects and were impressed by the company’s reliable performance.

At the St1 refinery personnel and machinery may have to deal with often very low temperatures during the core project in March. The project will only be successful because it is thoroughly prepared beforehand and the timetable is scrupulously adhered to, even in the case of unexpected events or technical challenges.

The Voith team is delighted about the new orders which are allowing it to further consolidate its market position in Scandinavia.

About Voith Industrial Services:
Voith Industrial Services, a division of Voith GmbH with a current workforce of around 18,500, is one of the leading providers of technical services for key industries such as automotive, energy, chemicals and petrochemicals and of engineering services. In 2013 the company posted sales of € 1.18 billion at its more than 170 locations worldwide.

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