Outokumpu and Q Power to explore synthetic methane production in Tornio
Stainless steel producer Outokumpu and technology company Q Power will explore the production of synthetic methane at Outokumpu's Tornio facility. The initiative aims to utilize industrial emissions as raw material for fuel production.
Outokumpu Oyj, a global producer of stainless steel, and Q Power, a Finnish power-to-x technology provider, have signed a Memorandum of Understanding (MoU) to explore the feasibility of producing synthetic methane at Outokumpu's Tornio, Finland site.
The collaboration will investigate the technical, financial, and commercial aspects required for synthetic methane production. The project aims to support Outokumpu's decarbonization targets by potentially capturing carbon monoxide and carbon dioxide from its production processes and using them as feedstock for synthetic methane. This e-fuel could reduce reliance on fossil fuels like liquefied natural gas (LNG).
"Outokumpu’s long-term vision is to have carbon neutral, waste-free stainless steel production. CCU technology is one key technology on our roadmap towards carbon neutrality," said Stefan Erdmann, Chief Technology Officer at Outokumpu. "The collaboration with Q Power, with their cutting-edge technology, is an exciting opportunity for us to explore different options together."
The companies aim to reduce dependency on fossil fuels and promote a circular economy within the steel industry. Synthetic methane, or e-methane, is produced from renewable hydrogen and captured CO2. It is fully interchangeable with natural gas and LNG and can be transported using existing infrastructure.