Suomen Lantakaasu Oy has announced the start of construction this winter on a biogas plant in Kiuruvesi, Finland, which aims to produce renewable liquefied biogas (LBG) primarily from cattle farm manure and agricultural byproducts.
Set for completion in 2026, the project forms part of the Upper Savo biogas complex, which includes the centralised Kiuruvesi plant alongside three planned satellite plants in Lapinlahti, Sonkajärvi and Nurmes.
The total investment in the Upper Savo complex is valued at approximately €100 million ($107m), supported by €19.2 million ($20.5m) in EU Recovery and Resilience Facility (RRF) aid.
Established in 2022, Suomen Lantakaasu is a joint venture between Nordic biogas company St1 Biokraft AB (St1) and Finnish food company Valio.
“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,” stated Janika Keinänen, Senior Project Manager at Valio, expressing gratitude towards the 100 agricultural entrepreneurs who have committed to supply manure under a binding agreement.
Once operational, the plant is projected to process around 400,000 tonnes of manure annually, producing around 125 GWh (gigawatt hours) of LBG – enough to fuel 250 heavy-duty vehicles each year.
Concept design for the plant ©St1
The biogas production facility will also incorporate a hybrid model, accepting manure-based compressed biogas from other plants in the complex for liquefaction. Suomen Lantakaasu plans to supply the liquefied biogas through St1’s distribution network to power heavy transport, which remains challenging to electrify.
“Biogas is an important solution for reducing emissions, particularly in heavy transport,” commented Matti Oksanen, Head of Growth at St1 Biokraft AB, emphasising the potential for Finland to scale biogas production provided policy stability remains.
Suomen Lantakaasu also aims to integrate circular agricultural practices by returning biofertiliser, a byproduct of the biogas production process, back to the farms.
Feedstock contracts are nearly in place, though the company is open to engaging a few additional manure suppliers in the vicinity.
The Kiuruvesi plant and its satellite projects represent nearly half of Suomen Lantakaasu’s target to produce one terawatt-hour of renewable transport fuel.
The company is also constructing another plant in Nurmo and evaluating potential sites in the Ostrobothnia region.
Scandinavia’s push toward biogas
Finland’s national goal of four terawatt-hours of biogas production by 2030 aligns with a broader Scandinavian push toward renewable energy. Finland focuses on using agricultural waste, especially manure, to produce biogas as a fuel for heavy transport, with projects like the Kiuruvesi plant serving regional hubs.
Sweden, aiming for carbon neutrality by 2045, targets biogas as a replacement for fossil fuels in both transport and industry, with substantial subsidies supporting local production and infrastructure.
Denmark seeks to meet almost all domestic gas demand with biogas by 2034, driven by partnerships with municipalities and incentives for farmers to provide agricultural waste as feedstock.
Norway, primarily an oil exporter, has begun focusing on biogas to support its 2050 carbon neutrality goal. Norway’s strategy includes using organic waste from aquaculture and forestry, alongside agricultural inputs, to develop biogas for heavy transport and maritime use, backed by government incentives and growing infrastructure.
