European Energy and Mitsui & Co have signed a multi-year e-methanol offtake agreement with OMV through their joint venture Solar Park Kassø.
The renewable e-methanol will be produced at the Kassø facility in Aabenraa, Denmark, and be EU-certified as a renewable fuel of non-biological origin, meaning it is compliant with the newly implemented third European renewable energy directive (RED III) for road transport.
René Alcaraz Frederiksen, Executive Vice President and Head of Power-to-X in European Energy, commented: “We are pleased to welcome another off-taker for our e-methanol produced in Kassø. This multi-year commitment demonstrates that there is a real and growing market for renewable methanol as companies strive for compliance with RED III and look for credible ways to reduce emissions from fuels and industrial processes. For Kassø, the agreement is another important commercial validation. We have proven that e-methanol can be produced on an industrial scale. The next step is building a broad and diversified customer base, and adding a company of OMV’s scale and industrial experience is a strong contribution to that development.”
Tadaaki Ito, General Manager for Methanol and Ammonia Division in Mitsui & Co, followed: “This agreement with OMV marks another important milestone for the Kassø e-methanol project. It demonstrates that e-methanol is evolving into a practical low-carbon solution across a broad range of industries. In addition to marine fuel and chemical applications, demand is now emerging in the transportation fuel sector, reflecting the growing recognition of e-methanol as a viable pathway to decarbonisation. We believe e-methanol can provide customers with a realistic and scalable option to reduce emissions while leveraging existing infrastructure and supply chains.”
This agreement is the fourth publicly announced, following deals with A P Moller-Maersk, the LEGO Group and Novo Nordisk.
OMV, European Energy and Mitsui & Co Sign Multi-Year e-Methanol Offtake Agreement
