Preem will be undertaking the large-scale production of renewable fuels at its Lysekil refinery.
Preem has launched a new project to rebuild its Swedish refinery to become Scandinavia’s largest producer of renewable fuels.
In an initial phase, Preem plans to carry out the redevelopment of its existing Synsat plant, which produces environmental class 1 diesel.
The redevelopment of the Synsat plant will increase Preem’s renewable diesel production by 650,000-950,000 cubic meters annually.
This is two to three times higher than its renewable production capacity at its refinery in Gothenburg.
“Preem’s main priority is to begin large-scale renewable production at the refinery in Lysekil and we are pleased to announce that we will now take the first, big step in the refinery's renewable conversion,” said Magnus Heimburg, CEO at Preem.
The increased renewable production will play a central role in helping Sweden to achieve its climate targets.
The conversion is estimated to reduce emissions throughout the value chain by between 1.2 to 1.7 million tonnes of carbon dioxide each year.
When the conversion is completed, the plant will have the capacity to process up to 40% renewable raw materials, with the ambition to reach higher levels in the long term.
The project will also mean that the corresponding amount of fossil raw material will be phased out of the Synsat plant.
“Focusing on renewable fuels is a cornerstone of Preem’s overall and long-term business strategy,” added Heimburg.
“The project is a central part of Preem’s goal to become the world’s first climate-neutral petroleum and biofuel company throughout the entire value chain by 2045, while maintaining our competitiveness.”
An application to change the existing environmental permit is planned to be submitted before the end of the year. The plant is expected to be operational by 2024 at the latest.
Popular News Stories
LATEST VIDEOHow sustainable aviation fuel (SAF) is making its way in the aviation sector