Finland’s state-owned energy company Gasum will purchase e-methane from Nordic Ren-Gas and supply it to customers in the heavy road transport sector and the maritime industry.
Gasum and Nordic Ren-Gas have entered into a long-term purchase and sale agreement under which Gasum will purchase all e-methane produced by Nordic Ren-Gas at its Tampere power plant from 2026 onwards.
According to a joint statement, the Tampere power plant will produce 160 gigawatt hours (GWh) of e-methane per year.
In addition, e-methane will be produced using renewable electricity from Finnish wind power and biogenic CO2 captured from existing power plants.
In the power-to-sas process, hydrogen is first produced using renewable electricity and water.
The hydrogen is then further processed into e-methane by combining with biogenic carbon dioxide.
Gasum said e-methane would replace the use of fossil fuels in transportation, shipping and even the industrial sector.
The company said the fuel is fully compatible with natural gas and biogas. Once liquefied, it is fully compatible with liquefied natural gas (LNG) and liquefied biogas (LBG) as well.
This means it can be transported through existing infrastructure such as trucks, ships and pipelines, Gasum said.
E-methane can be used directly in gas engines currently running on natural gas, biogas, LNG and LBG/bio-LNG, and can be mixed in any ratio.
Gasum’s strategic objective is to supply 7 TWh of renewable gas per year to the Nordic market by 2027.
The company operates a network of LNG filling stations for vehicles. It also supplies his LNG to ships through a chartered bunkering fleet.