Power2X announces a plan for a 1 bln euro green methanol project in Estonia

Biobased Renewables

Estonia – Project developer Power2X based in the Netherlands is in the planning phase of a green methanol project in Estonia which entails an investment of more than 1 bln euros. The project will be developed in the industrial area of Niidu in Parnu aims to produce 500,000 tons of green methanol per year and should be operational by 2028.

Locally sourced sustainable forestry outputs and green hydrogen produced by Estonian offshore wind projects will serve as feedstocks. The green methanol can be used directly as a maritime fuel or as a feedstock to produce green chemicals and aviation fuels with a potential to save one million tons of carbon dioxide per year.

Gasification and hydrogen

The project will be based upon advanced gasification technology that converts the bio-feedstock into synthesis gas (CO+H2). Subsequently, the synthesis gas will be converted into green methanol. Addition of green hydrogen to the co-produced biogenic CO2 offers the potential to increase the methanol output of the process substantially. It is important to note that no CO2 capturing technology is required as the CO2 is present in the product stream of the gasification process. For this reason, upgrading of gasification processes by the addition of green hydrogen is a very logical and attractive carbon utilization pathway.

Economic impact

The project is expected to contribute to a GDP increase of Estonia creating more than 2,000 jobs during construction and 200 long term supply chain and operational jobs. Moreover, it provides a unique opportunity to develop a sustainable industry hub in Estonia that contributes to realize the European Green Deal ambitions.

Reinier Grimbergen
I am a science-driven R&D, Strategy and Business Development Executive. System Thinker. Scouting and building collaborations that contribute to a Climate Neutral and Circular Industry and communication is key to make it happen!