Arbaflame Announces Romanian Pellet Plant

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Norwegian biotechnology company Arbaflame announced in early November plans to build a wood fuel pellet plant in Romania. The company is also working with Romania’s energy ministry on a coal replacement verification test program through the first half of 2022.

Subject to success of the test program, the Romanian ministry energy will grant Arbaflame a 10-year offtake agreement for 100,000 tonnes per year of Arbacore wood pellets to be produced at the new Arbaflame factory in Romania. The agreement provides for further capacity expansion of 2 million tonnes per year, sufficient to replace approximately 10% of Romania’s coal consumption.

Arbaflame is a biotechnology company that aims to replace coal use in energy plants with steam-treated wood pellets. It is part of Carbon Transition ASA, an investment company listed on Euronext Expand, which invests in companies and technologies which contribute to significant reductions of carbon emissions.

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