Swedish fuel company Preem and wood industry company Setra are looking to collaborate on a production facility for the manufacture of pyrolysis oil, a renewable raw material for biofuel. The facility will be located at Kastet Sawmill in Gävle and will be completed in 2021. The planned facility is expected to provide around 25,000 tonnes of pyrolysis oil per year, which will be refined into biofuel at Preem’s refinery in Lysekil. “This is Europe’s first production facility for pyrolysis oil linked to a refinery. To meet Sweden’s national target of 70 percent fewer carbon emissions in the transport sector by 2030, a number of measures are required. This is why we were immediately interested when Setra got in touch with their plans for a pyrolysis oil manufacturing facility. It’s important to invest in different biofuels, with sawdust being one possibility,” says Sören Eriksson, development engineer at Preem. “Sawdust is a by-product in our manufacture of wood products, and the possibility of producing pyrolysis oil, which can then be used in biofuel, is completely in line with Setra’s strategy to increase the value and climate benefit of our products. We’ve been running the pyrolysis oil manufacturing project with the aim of finding a partner for commercial applications. The fact that Preem now wishes to invest in this facility with us is extremely positive,” says Hannele Arvonen, CEO of Setra Group. The partnership with Setra is part of Preem’s aim to manufacture 3,000,000 cubic metres of renewable fuel at refineries in Lysekil and Gothenburg by 2030.
Swedish fuel company Preem and wood products company Setra will develop a manufacturing facility for pyrolysis oil at Kastet Sawmill, Gävle. The facility, expected to be completed in 2021, will produce 25,000 tonnes of pyrolysis oil per year, which will be refined into biofuel at a Preem refinery in Lysekil. This will be the first facility in Europe, which manufactures pyrolysis oil and is linked to a refinery. The project forms part of Preem's target of manufacturing three million cubic metres of renewable fuel at Lysekil and Gothenburg by 2030.