Outokumpu, the pioneer in sustainable stainless steel, and Norsk e-Fuel, a Nordic pioneer in Power-to-Liquid project development, have signed a Memorandum of Understanding (MoU) to work together towards realizing a CO-to-SAF (Sustainable Aviation Fuel) production plant to be located next to Outokumpu’s stainless steel mill in Koivuluoto, Tornio, Finland. Under the signed MoU, Norsk e-Fuel will start a feasibility study in 2026. If the study leads to positive results, Norsk e-Fuel anticipates taking an investment decision around 2028, with production start planned for 2032.
Outokumpu would provide carbon monoxide (CO) side streams from its ferrochrome production as a feedstock for the production of 80,000-100,000 tons of eSAF annually, supporting the EU’s eSAF quota and advancing the decarbonisation of aviation. Once operational, the eSAF plant would create financial value for Outokumpu through increased side stream utilization. The project will support Outokumpu’s decarbonisation journey by allowing the company to reduce direct CO₂ emissions by 200,000 tons annually, representing 20% of Outokumpu’s global direct emissions.
Responsible for funding the project, Norsk e-Fuel estimates the investment to be approximately EUR ~1.2–1.5 bn.