Swedish forestry business SCA and Finnish bioenergy firm St1 will expand their partnership to produce sustainable aviation fuel (SAF) from pine oil for the Swedish market from a new jointly-owned biorefinery, starting from 2023.
Producing SAF marks a new phase in a joint venture that was formed in September 2021. Each own a 50pc share of a 200,000 t/yr biorefinery in Gothenburg that will come on line next year.
SCA already provides feedstock tall oil and pine oil from their wood pulping operations in Sweden to St1 refineries. Pine oil is an important feedstock for the domestic biofuels industry. SCA invested 150mn kronor ($15.9mn) in new processing equipment to produce biofuels at its Munksund plant in March.
St1 has been supplying hydrotreated vegetable oil (HVO) to service stations across Finland since September 2021.
