Envigas and Skellefteå Kraft eye large-scale biocarbon and pyrolysis oil production

In Sweden, biocarbon and pyrolysis oil producer Envigas AB, and compatriot municipal energy utility Skellefteå Kraft AB have announced plans to jointly explore the feasibility of establishing a large-scale production facility for biocarbon and pyrolysis oil in Hedensbyn, Skellefteå.

May 21, 2025 - 21:30
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Envigas and Skellefteå Kraft eye large-scale biocarbon and pyrolysis oil production

According to a statement, this initiative would represent a significant step in the industrial transition, where these two renewable bioproducts can replace fossil alternatives and thus reduce industrial fossil carbon dioxide (CO2) emissions by up to 120,000 tonnes of CO2 per annum.

Envigas already operates an established production facility in Bureå outside Skellefteå with an annual capacity of approximately 5,000 tonnes of biocarbon and 3,000 tonnes of pyrolysis oil.

The high-quality biocarbon is primarily used in the steel and metallurgical industries instead of fossil carbon, while the pyrolysis oil and pyrolysis gas offer sustainable solutions for the energy and chemical sectors.

This facility has been crucial for the company’s development, both technically and commercially, by enabling material qualification with several industrial players in the metallurgical sector.  The production now being investigated would have an annual capacity exceeding 25,000 tonnes of biocarbon and 20,000 tonnes of pyrolysis oil. We look forward to exploring this together with Skellefteå Kraft to lay the groundwork for a large-scale expansion of our operations and an increased contribution to the transformation of Swedish industry, says Lars-Gunnar Almryd, CEO of Envigas.

Skellefteå Kraft is one of Sweden’s largest heat and power generators, with energy assets spread across onshore wind, hydropower, and biomass-fired combined heat and power (CHP).

With renewable energy and access to renewable biomass, our region has among the best conditions in the world to establish industrial clusters that are driving the green transition forward. As an energy company, we can play a vital role in other sectors’ transitions while also harnessing the potential of circular flows, s, and continues: That is why we want to assess these conditions together with Envigas. The focus is primarily on examining synergies, both within and between Skellefteå Kraft’s existing facility and an adjacent biocarbon production plant, said Fredrik Jonsson, Head of Business Innovation at Skellefteå Kraft.

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