Bioethanol from borregaard in petrol

For the first time in history, Norwegian, wood-based bioethanol is to be added to petrol for Norwegian consumers.

Bioethanol produced by Borregaard will be delivered to motorists who fill Bensin95 at Statoil petrol stations in eastern Norway.

Borregaard has entered into an agreement with Statoil concerning sale of all the company can deliver of available bioethanol, which is a quantity of 44,000 litres per month. Statoil will be picking up its first load this week.

Borregaard is the world's largest manufacturer of 2nd generation bioethanol, with a production of around 20 million litres per year. The bioethanol that is produced in Borregaard's biorefinery is produced by extracting sugar from wood, which is then fermented to make ethanol. At present, Borregaard delivers bioethanol from its Sarpsborg facility for heavy goods vehicles and buses in the Oslo region. The contract with Statoil means that the company can also deliver the additive for use in cars:

"This means that we now deliver around a quarter of our bioethanol production for fuel. Our products have a good climate footprint, with a reduction in CO2 of at least 80%, compared with conventional fuel. Based on our current production, it may be possible to increase deliveries to the fuel market," says Pål Espen Ramberg, Borregaard's manager for ethanol production

"By mixing bioethanol with normal petrol, the highest possible numbers of motorists will be able to drive on environmentally sound Norwegian bioethanol. This is a positive development and a step in the right direction. We are certain that this is an important and specific measure that will reduce emissions from the transport sector for many decades to come," says Dag Roger Rinde, Managing Director of Statoil Norge AS.

The ethanol is mixed with the petrol that is delivered from Sjursøya in Oslo to Statoil petrol stations in eastern Norway. All of the bioethanol that Statoil Norge uses complies with the European standard for ethanol used as a petrol additive, and all vehicles that can drive on Bensin95 can use Bensin95 containing five percent bioethanol.

The contract with Statoil contributes to an exciting collaboration and is in line with the long-term investment areas at Borregaard. The company has developed a new process for production of bioethanol and biochemicals from various biomasses (including waste products from agriculture) and is in the process of building a NOK 130 million pilot plant to develop this process. Borregaard has been given NOK 58 million in funding for this project from Innovation Norway's support scheme for environmental technology, which emphasises the development of 2nd generation biofuels.