Biokraft: Construction of the second largest biogas facility

Biokraft: Construction of the second largest biogas facility

SEK has financed the Norwegian company Biokraft’s construction of a biogas facility in Skogn, just north of Trondheim.


Construction of the facility in Skogn started in 2015 and, on its completion in 2017, it will be one of Northern Europe’s largest producers of liquid biogas. The facility will more than double production of biogas in Norway.

“Norway has entered a period of comprehensive readjustment. We are developing industry and commerce, which will take over the role that oil and gas operations currently play. Biokraft shows that it is possible to combine industry’s demands for profitability with the need for clean fuel, increased production and reduced climate emissions.”
– Håvard Wollan, CEO, Biokraft

The facility is being constructed by the Swedish environmental engineering company, Purac. SEK is financing an export credit to Biokraft AS that is being arranged by SpareBank 1 SMN. The project is also co-financed by Innovation Norway and the Norwegian company ENOVA.

“At Purac, we are tremendously proud to have the opportunity to construct this landmark in renewable fuel. The facility in Skogn will be the largest biogas plant that Purac has constructed in Europe and it is thanks to competitive financing from SEK and collaboration with the Swedish export credit system that the project can be brought to fruition and Biokraft can contribute to a better environment.”
– Jonas Fack, Managing Director, Purac


Sustainability

The facility in Skogn will contribute to an annual reduction of CO2 emissions corresponding to 30,000 metric tons.

Transaction data

Amount: Export credit, NOK 160 million
Start: 2016
Maturity: 2027
Borrower: Biokraft AS of Norge
Exporter: Purac AB
Arranger: SpareBank 1 SMN
Guaranteed by: Sparebank 1 och EKN


SEK