2021-04-29 17:26News

29 April, 2021

Mundus Nordic Green News

Volvo Group and Daimler Trucks launch new JV, cellcentric

Daimler Truck AG and Volvo Group – officially outlined their pioneering roadmap for the new fuel-cell joint venture called cellcentric, which aims to accelerate the use of hydrogen-based fuel cells for long-haul trucks and other applications.

cellcentric, which has the ambition of becoming a leading global manufacturer of fuel-cell systems, will build one of Europe’s largest planned series production of fuel-cell systems, with operation planned to commence in 2025. To accelerate the rollout of hydrogen-based fuel-cells, the two cellcentric shareholders call for a harmonized EU hydrogen policy framework to support the technology in becoming a viable commercial solution. (press release)

Scandinavian Biogas to invest SEK 170 million in the expansion of a facility for liquefied biogas in Norway

Sweden’s Scandinavian Biogas Fuels International has decided to invest NOK 170 million in a liquefied biogas plant (LBG) near Trondheim in Norway. The company already has the world's largest plant for the production of liquid biogas on site. The plant will be ready for commissioning in 3Q22 and produce 35 GWh p.a. of biogas. The Skogn II project has all mandatory permits in place as well as an approved investment grant of NOK 48.6 million from Enova (part of the Norwegian Ministry of Climate and Environment). Agreements with suppliers of technology for the new facility are ready, as are a number of agreements with customers, mainly in the Norwegian shipping industry. The agreements with suppliers of waste (feedstock) are also ready. (Energipress)

Lundin Energy reports strong quarter and green transformation

Lundin Energy reported record-high revenue of $1.1 billion for the quarter, and strong free cash flow of $526 million in its results. But in addition to celebrating the financial progress, Nick Walker, President and CEO of Lundin Energy gave a considerable focus to the company’s green transiton. “We continue to make good progress in reducing carbon dioxide emissions in our business, and have everything in place to achieve carbon dioxide neutrality from 2025. Our latest commitment in Karskruv wind farm in Sweden, means that over 95% of our oil production in 2023 will be powered by renewable energy from our own projects. We recently announced the sale of the world's first crude oil certified as carbon neutral, which strengthens our position as an industry leader in low carbon emissions. I believe this is the first sale of many of its kind, which will be an important factor in differentiating Lundin Energy in terms of value in relation to other companies in the industry."

Separately, OX2 announced that it was selling its 86MW Karskruv wind farm in southern Sweden to Lundin Energy.

However, a critique in Dagens Nyheter, observes that while Lundin claims to have been the first in the world to sell certified climate-neutral oil, through its investment in electrified oil platforms, the company does not compensate for the emissions from the oil's combustion, only the emissions caused in production. What happens to the oil itself is not their responsibility, the company says. (press release, Tanalys, Dagens Nyheter)

Ørsted says it was a good quarter but low wind and cable problems hit earnings

Ørsted 1Q21 earnings were down DKK 1.9 billion compared with 1Q20, where, among other things, newly discovered cable problems have resulted in a provision of DKK 800 million. The primary reason for the decline is that last year Ørsted had a one-time earnings from the offshore wind farm Hornsea 1, which has not come this year. In addition, there has not been as much wind in the first quarter as last year, which means that less power has been produced from the company's offshore wind turbines. Ørsted has also had to set aside DKK 800 million for some possible problems with cables at offshore wind farms in the UK, which may need to be repaired. CFO Marianne Wiinholt described it as “a solid quarter... operations have been good with a high uptime.” (press release, Euroinvestor)

Equinor reports separate renewables business for first time

Equinor produced 450 GWh of renewable energy in 1Q21, reporting a profit of $1.34 billion from the division after tax, but with the exceptional profit from gains on the sale of shares contributing the entire result. By comparison, in 1Q20 the company produced 558 GWh. At a Group level, Equinor reported an operating profit of $1.9 billion, up from a loss of $2.4 billion in the corresponding period last year, helped by rising oil and gas prices. (Montel)

Ngenic announced plans for First North IPO

The Swedish energy technology company Ngenic, announced that it is planning to list on Nasdaq First North. Ahead of the IPO, Ngenic will carry out a new issue valued at SEK 60 million at a subscription price of SEK 40.50 per share, corresponding to a total market value of approximately SEK 120 million. Ngenic’s first day of trading on First North is expected to take place in the beginning of June this year and at present the company has received subscription commitments equivalent to 75% of the offer. (Dagens industri) 

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About Nordic Green News

The Nordic countries are some of the most dynamic and successful economies in the world. They are also leaders in sustainability, from renewable energy, biofuels, carbon capture and storage and the hydrogen economy, circular economy business models and battery development, the Nordics are pioneers in policy design, technology development and consumer uptake. Mundus Nordic Green News is covering this transition for the international community. Every day we clip the stories of most relevance to international businesspeople and policy experts from the flow of news. We supplement these with our own opinion pieces and commentary, in English.