The Nordic Investment Bank (NIB) has signed a 16-year DKK 250 million (approx. EUR 33.5 million) loan with Tønder Biogas A/S to fund the construction and operations of one of Europe’s largest biogas facilities in Tønder, Denmark.
The Tønder Biogas facility is set to begin commercial operations by the first half of 2025. With the capacity to produce more than 41 million Nm3 (equivalent to 455 GWh) of methane annually, the facility will be larger than a typical biogas plant.
By replacing natural gas with biomethane from the facility, more than 90,000 tonnes of CO₂ emissions can be avoided each year.
In addition, more than 48,000 tonnes of liquid CO₂ will be captured and sold to Power-to-X operators.
The plant’s entire biogas production will be injected into the natural gas grid.
The plant will process approximately 930,000 tonnes of biomass annually, utilising manure and industrial waste as feedstock, without the use of energy crops.
As a result, more than 800,000 tonnes of digestate will be produced, which local farmers can use as fertiliser.
“Renewable solutions play a key role in decarbonisation and clean energy infrastructure. This project will strengthen the energy infrastructure by making the natural gas supply more self-sufficient and therefore less dependent on foreign natural gas supplies,” said André Küüsvek, NIB President & CEO.
Tønder Biogas A/S began its first construction stages in 2021, and the plant will become one of the largest biogas production facilities in Denmark, contributing to the country’s rapidly increasing biogas output, which has grown five- or sixfold since 2012.
The facility is capable of generating enough energy to meet the annual consumption needs of more than 25,000 households.
Nordic Investment Bank signs €33.5m loan for Tønder biogas plant
