Outokumpu Invests in Biocarbon Plant in Germany to Cut Direct Emissions

Specifications:

Name:

Outokumpu Invests in Biocarbon Plant in Germany to Cut Direct Emissions

Location:

GERMANY

Company:

Outokumpu

Estimated Cost:

?40 million

Source:

outokumpu.com

Introduction:

Outokumpu, the global leader in sustainable stainless steel, continuously seeks innovative ways to further reduce its climate impact across the entire value chain in Germany, Europe.

Features:

Outokumpu, the global leader in sustainable stainless steel, is investing EUR 40 million to establish a high-quality biocarbon production plant in Germany. Of this investment, approximately EUR 10 million is included in the capital expenditure (CAPEX) framework related to Outokumpu’s second strategy phase. The company remains committed to maintaining its maximum CAPEX frame of EUR 600 million between 2023 and 2025.

As part of its long-term strategy, Outokumpu has developed a roadmap for securing future biocoke supply through a combination of in-house production, external sourcing, and partnerships. The company operates pilot plants in Mukran Port, Germany, and Tornio, Finland, to refine its production processes, optimize side-stream gas utilization, and enhance the end-product. Additionally, side-stream gases from the Mukran Port plant will be used to generate heat and electricity, creating a financially attractive business case and maximizing biomass value.

The new plant will be located in Sassnitz, in the state of Mecklenburg-Vorpommern, Northeastern Germany, utilizing existing infrastructure and facilities at Mukran Port. It is designed to produce 15,000 tonnes of biocarbon annually using waste wood as raw material. The site is expected to be commissioned in the first half of 2026.

The plant will supply biocoke feedstock to Outokumpu’s pelletizing plant in Tornio, Finland, which is on schedule for completion by mid-2025. Biocoke plays a crucial role as a reductant in Outokumpu’s ferrochrome production, supporting the company’s commitment to sustainable and low-carbon stainless steel manufacturing.