Finland is the Optimal Location to Build an E-Methanol Plant – Here’s why
Finland is well-positioned to host the world’s first P2X e-methanol plant, thanks to its optimal mix of biogenic carbon dioxide, renewable energy, and engineering expertise. ANDRITZ, a global technology company specializing in industrial equipment and services, is ready to turn this vision into reality.
P2X technology converts renewable electricity into green molecules, such as e-methanol, which is a climate-friendly alternative to fossil fuels. E-methanol can be used as fuel and as a raw material in industrial processes. The P2X plant would help Finland to position as a leader in the global green transition.
With a long history of delivering industrial plants, ANDRITZ offers expertise in P2X as an EPC contractor and in FEED (Front-End Engineering Design) services, overseeing design, procurement, and construction to deliver turnkey solutions ready for operation.
“We have extensive engineering expertise and a proven track record in EPC deliveries,” says Henrik Grönqvist, Global Director, E-Methanol at ANDRITZ. “We offer in-house technology for green hydrogen production, carbon capture, and P2X solutions, in collaboration with our partners.”
“While there are many hydrogen producers globally, especially in China and Central Europe, ANDRITZ stands out for its ability to integrate multi-stage P2X solutions into seamless systems,” Grönqvist says.
Grönqvist notes that Finland is an ideal location for e-methanol production due to its access to biogenic carbon dioxide, high availability of renewable electricity, and engineering expertise.
For example, biogenic carbon dioxide is limited in Central Europe, and Sweden lacks Finland’s comparable expertise. Finland also provides a predictable investment environment.
What’s Standing in the Way?
The profitability of e-methanol production raises investment concerns since such plants have rarely been implemented at an industrial scale. Additionally, hydrogen produced via electrolysis remains more expensive than fossil fuels.
However, EU regulations are driving investments by imposing requirements on the energy sector, such as meeting renewable energy quotas. This compels companies to adopt renewable fuels, increasing the demand for P2X-produced e-methanol, which is becoming more economically attractive. “Also, the fines for failing to comply with obligations would ultimately be more costly than using e-methanol,” Grönqvist notes.
Producing green hydrogen via electrolysis and refining it into e-methanol not only creates cleaner fuel but also drives the global shift from fossil fuels to sustainable energy sources.
ANDRITZ is currently delivering an electrolyzer plant in Salzgitter, Germany, where the hydrogen produced will replace fossil coke in steel production.
Investment Waiting to Happen
“Our vision is driven by a commitment to the future of our planet,” Grönqvist says. “We operate on every continent, and our purpose is ‘creating growth that matters’. While people understandably focus on daily needs, there remains a need to drive new waves of investment and export products for Finland.”
The window of opportunity for the pioneering P2X e-methanol plant is narrow. As global demand for green fuel grows, ANDRITZ and Finland must act quickly. “We are involved in several studies that lay the groundwork for potential investments,” Grönqvist says. “The opportunity is now, and an investor could see a source of long-term cash flow,” Grönqvist says.
As an EPC supplier ANDRITZ leads the way in integration engineering. “We can seamlessly deliver comprehensive integration of the plant. The lifecycle of our plants is top-tier, as we ensure continuous operational reliability through maintenance, spare parts, and skilled personnel,” Grönqvist says.
A P2X plant would establish a completely new industrial sector in Finland, supporting high-tech exports and creating new jobs.
“Our goal is to have a e-methanol plant operational in Finland in near future,” Grönqvist concludes. “Such a facility would not only support Finland’s and Europe’s climate targets but also strengthen and position Finland as a global technology leader in the green transition.”
Three key takeaways
- Finland is ideal for an e-methanol plant, with access to biogenic CO2, renewable energy, and engineering expertise.
- E-methanol offers a sustainable fuel alternative, and EU regulations are increasing its market demand, driving economic and environmental benefits.
- ANDRITZ offers turnkey solutions and expertise in green hydrogen and P2X technologies, positioning them as a key player in clean energy.
