European Chemical Industry News & Insights

UPM Lays Foundation for Wood-Based Renewable Diesel Biorefinery

At a glance
  • The biorefinery will start producing renewable diesel from tall oil in 2014.
  • The EUR 150 million investment is the first significant new production facility in Finland's forest industry.
  • Construction began last summer and will employ nearly 200 people for two years.
  • The biorefinery will produce 120 million liters of renewable diesel annually.

Project Overview

The construction of the world’s first biorefinery producing wood-based renewable diesel in Lappeenranta is progressing on schedule. The foundation stone of the UPM Lappeenranta Biorefinery will be encased today. Construction began last summer, and the biorefinery is set to start producing renewable diesel from tall oil in 2014.

Investment and Economic Impact

The EUR 150 million investment in Lappeenranta is a significant step in Finland's forest industry transformation. This project is the first major investment in a new and innovative production facility in Finland, realized without public investment grants. The construction phase will provide employment for nearly 200 people over approximately two years. Once operational, the biorefinery will directly employ nearly 50 people and indirectly about 150 people.

Production Capacity

The UPM Lappeenranta Biorefinery will produce 120 million liters of advanced, renewable diesel fuel annually. This sustainable wood-based raw material will be converted into high-quality transport fuel that reduces emissions and is suitable for modern vehicles.