Outokumpu and Norsk eFuel to Study Aviation Fuel Production from Side Streams

Steel manufacturer Outokumpu Oyj is exploring the production of sustainable aviation fuel (eSAF) from its carbon-rich industrial side streams at its Tornio facility. The company has signed a memorandum of understanding with Norway-based Norsk eFuel to convert these byproducts into jet fuel.

The project is projected to reduce Outokumpu's direct carbon dioxide emissions by up to 200,000 tons annually, equivalent to 20% of the company's global emissions. Norsk eFuel will commence a feasibility study in 2026 for a "COtoSAF" plant adjacent to the Tornio mill. If successful, the plant could produce 80,000–100,000 tons of eSAF per year by 2032.

Outokumpu's integrated site in Tornio is the world's largest stainless steel production facility and Europe's largest recycling hub, processing approximately two million tons of stainless steel scrap annually. The company states its stainless steel has a 75% lower carbon footprint than the global industry average, and its ferrochrome footprint is 67% lower than the sector benchmark.

Norsk eFuel estimates the project would require an investment of EUR 1.2–1.5 billion and create approximately 250 new local jobs. The collaboration is presented as a blueprint for heavy industry to lead the clean energy transition and enhance Europe's strategic independence by securing domestic fuel supply.