Suomen Lantakaasu is set to construct a renewable biogas plant in Kiuruvesi, Finland, with completion targeted for 2026.
Suomen Lantakaasu is a joint venture between Valio and St1 Biokraft.
The plant is a key part of the Upper Savo complex, which includes a centralised liquefied biogas production facility and three satellite plants.
The total investment is valued at approximately €100m ($106.46m), bolstered by €19.2m in EU Recovery and Resilience Facility funding.
The Kiuruvesi biogas plant will utilise local livestock manure, with the capacity to process around 400,000 tonnes (t) per year from nearly 100 farms.
It will also receive manure-based compressed biogas from other plants within the complex for liquefaction.
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By GlobalDataAnnually, the plant is expected to liquefy about 125GWh of biogas, sufficient to fuel an estimated 250 heavy-duty vehicles.
Suomen Lantakaasu manages the full cycle of manure collection from farms and returns the resulting biofertiliser back to the agricultural sector.
Feedstock contracts are nearly complete, with opportunities for additional farms to participate. The biogas produced will be integrated into St1’s distribution network, serving as fuel for heavy transport.
The investment aligns with Finland’s national biogas target of 4TWh by 2030, with Suomen Lantakaasu aiming to generate 1TWh of renewable transport fuel.
The company is also developing a central plant in Nurmo and scouting for new plant sites in the Ostrobothnia regions, with the planned projects already accounting for nearly half of their goal.
The project’s impact extends beyond energy production, promising significant employment opportunities in Eastern Finland. It will create jobs not only at the biogas plant itself but also in the construction and logistics sectors of the region.
The project’s funding from the NextGenerationEU initiative underscores its importance to the region’s sustainable development.
Valio senior project manager Janika Keinänen said: “Manure biogas production has a major role in reducing emissions not only from heavy transport, but also from agriculture.
“With the binding supply agreement we have signed with more than 100 agricultural entrepreneurs in Upper Savo, the biogas plants will have a very broad impact on Upper Savo’s agricultural emissions and on the development of the sector as a whole.”
