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With the aim to get the most out of every tree, Södra now takes the decision to be one of the largest producer of kraft lignin. Södra’s production facility, set to be operational in 2027, will be the first of its kind in Sweden and the largest in the world. This project represents an investment of over two billion SEK.
Kraft lignin has the potential to replace fossil materials in a variety of applications, including adhesives, batteries, rubber, composites, and as a basis for new biofuels and biostimulants. With the growing market demand for alternatives to fossil chemicals, Södra has been actively exploring market opportunities, engaging in discussions with potential customers, and securing offtake agreements for a substantial portion of its production volumes. The production of kraft lignin holds promising potential to contribute both to the green transition and to the profitability of the forestry sector.
”The forest is being called on for many things as society seeks to replace fossil-based materials. To succeed in that transition, sustainability and profitability need to go hand in hand and Södra’s kraft lignin investment is a good example of that. We will make more out of every tree and strengthen our profitability. This is a big investment for Södra and the green transition,” says Lotta Lyrå, CEO of Södra.
Today, lignin is used for generating energy, but the refining process Södra is investing in will make more use of the raw material as a product. This is in line with Södra’s strategy to make more of each tree and create more value for the forest estate.
”Innovation is a necessary and important part of our business to ensure our competitiveness today and in the future. We are constantly working to create the most possible value from each tree, both with today’s processes and through new opportunities. Within Södra’s strategy, we see several future energy and chemical products with great potential as alternatives to fossil-based materials in society, of which kraft lignin is one,” says Catrin Gustavsson, Executive Vice President at Södra Innovation.
”With kraft lignin in our product portfolio, we are strengthening our position as a supplier of sustainable alternatives. Södra has seen potential in kraft lignin production for a long time. Now that we see growing market interest, we can offer a product that contributes to the green transition,” says Johannes Bogren, Vice President, Södra Bioproducts.
Södra’s new facility will have the largest capacity for kraft lignin production in the world. Production is planned to start in 2027 and is enabled through the Swedish Energy Agency and The Industrial Leap.
What is Lignin?
Lignin is the component in forest raw material that binds fibres together, ensuring trees remain strong and stable. When isolated, lignin appears as a brown powder and, chemically speaking, is a biopolymer made up of interconnected aromatic compounds. Södra has a long history of collaborating with and supporting lignin research, accumulating extensive knowledge about its potential applications.
During the pulp cooking process, lignin is released to free the fibres, transforming them into pulp or dissolving pulp. This results in the production of large quantities of lignin at the mills. Part of this lignin can be extracted and utilized as a product. Currently, lignin is used to generate steam and electricity to power the mills, with any surplus energy sold to the public power grid.
What is ”Industriklivet” (Industrial Leap)?
The Swedish Parliament has set a climate goal for Sweden to achieve net zero greenhouse gas emissions by 2045, followed by negative emissions. Achieving this will require significant technological advancements across multiple industries. To support this transition, the Government has initiated a long-term investment strategy known as Industriklivet (the Industrial Leap).
Since 2021, Industriklivet has been integral to the green transition towards a climate-smart society post-COVID-19 and is part of the EU’s Recovery and Resilience Facility (RRF). The RRF, a component of Next Generation EU, aims to contribute to a more environmentally friendly EU, better equipped to meet current and future challenges.
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Tags: biofuels, bioproducts, Forestry, fossil material alternatives, green sustainability, Industriklivet, kraft lignin, lignin production, Södra, sustainability, wood and panel, wood news, woodworking, woodworking and manufacturing, woodworking and processing, woodworking industry, woodworking magazine, woodworking news, woodworking UK
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