Norway. Moelven Industrier ASA
| Date of agreement: | 23 Jun 2020 |
|---|---|
| Country: | Norway |
| Customer: | Moelven Industrier ASA |
| Amount in NOK: | NOK 200 million |
| Amount in EUR: | EUR 17.7 million |
| Maturity: | 7 years |
| NACE sector / loan type: | Manufacturing |
Financing from NIB Environmental Bond proceeds
NEB-eligible share: 100%
NEB category: Renewable energy generation
Amount disbursed: EUR 18.4 million
This project has been financed with the proceeds of NEBs issued under the previous framework
Note: For loans in other currencies than EUR, the equivalent in EUR is based on the exchange rate effective for the disbursement. Read more about the NIB Environmental Bonds
Project
NIB has provided the loan for financing Moelven Industrier’s investments in pellet production, bioenergy and improving energy efficiency at various production plants.
The wood pellet and bioenergy plant is integrated with the company’s sawmill at Sokna, near Hønefoss.
The investments also include replacing outdated driers and other energy efficiency improvements at several smaller plants.
Moelven Industrier ASA is one of the largest producers of sawn wood and wood-based building materials in the Nordics. The company employs about 3,390 employees mostly in Norway and Sweden. The owners of the company are Glommen Mjøsen Skog SA (78.8%) and Viken Skog SA (20.8%), with the remaining shares held by private individuals.
Fulfilment of NIB's mandate
Energy production for the pellet production and the sawmill operations will be produced in two new 12 MW solid biofuel boilers, that will use wood by-products as fuel to generate up to 88 GWh of thermal energy annually.
The company estimates that the plant will produce 80,000 tonnes of pellets per year. This would double wood pellet production in Norway.
Previously, Moelven sold its residual raw materials to other industries in Norway and Sweden. The dried biofuels require less transport volume, resulting in an estimated reduction of 4 million tonne-kilometres a year.
Indicators for the expected impact of the investment:
- Pellet production at Moelven Pellets AS: 80,000 tonnes per year
- Renewable energy generation at Sokna sawmill: 88 GWh per year
Sustainability summary
Moelven uses annually approximately 4.5 million cubic metres of wood, of which 85% comes from forests managed by the forestry associations listed as owners of the company. Forests in Norway are almost 100% sustainably managed (PEFC certified).
