Liquid Wind and Turun Seudun Energiantuotanto (TSE) plan to develop a 100,000-tonne-per-year green hydrogen-based e-methanol plant in Finland.
The pair today (January 22) announced the signing of a new Memorandum of Understanding (MoU) to explore building the plant next to TSE’s existing Naantali 4 power plant.
Under initial plans, the pair intend to use biogenic CO2 and steam from the TSE power plant for e-methanol production in combination with green hydrogen. The plant’s process and waste heat could also be used for district heat.
Eyeing a final investment decision (FID) for 2026, the companies expect to start production in 2029 to deliver e-methanol for industries such as shipping.
“Locally, in the city of Naantali, we will focus on carbon capture and utilisation (CCU) and the reuse of CO2 and waste heat. Globally, we aim to support the transition by allowing our offtakers to shift from fossil fuels to low-carbon e-fuel,” said Liquid Wind CEO and founder, Claes Frederiksson.
Mika Lehtonen, TSE Chair, said the development would strengthen the position of the firm’s Naantali power plant, “enabling it to supply new commodities for methanol production while it continues to produce electricity and heat for customers in the Turku region and TSE’s investments remain moderate.”
The TSE development comes after Uniper selected Liquid Wind to develop a 100,000-tonne e-methanol project in Sweden.
Read more: Uniper names Liquid Wind project developer for 100,000-tonne e-methanol project
Liquid Wind aims to develop 10 e-fuel facilities by 2027 as it aims to meet the shipping industry’s growing demand for low-carbon fuels.
Despite the ambitious plans, its inaugural 55,000-tonne plant in Örnsköldsvik, Sweden, which had been bought out by Ørsted when it reached final investment decision (FID) was shelved in 2024.
Citing low offtake demand, high prices and insufficient incentives, Ørsted told H2 View the FID had been taken on the basis of a “challenged business case.”
Read more:High prices, no offtake, insufficient incentives: why Ørsted scrapped FlagshipONE
Speaking to H2 View, Liquid Wind’s Frederiksson remained certain that buyers are there for e-methanol.
“Fuel can be made, fuel can be consumed, but the price points and the willingness to pay more, is still limited,” he said. “People are not willingly paying two or two and a half times the cost of fossil fuel.”
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