Outokumpu and Norsk e-Fuel have signed a memorandum of understanding to jointly explore a CO-to-sustainable aviation fuel (SAF) production plant located adjacent to Outokumpu’s stainless steel operations at Koivuluoto in Tornio.
Under the MoU, Norsk e-Fuel will begin a feasibility study in 2026. Subject to positive results, an investment decision is expected around 2028, with production targeted to start in 2032. The project would use carbon monoxide side streams from Outokumpu’s ferrochrome production to produce 80,000-100,000 tons of eSAF per year, supporting EU eSAF targets while creating value through increased side-stream utilization.
Once operational, the plant is expected to cut Outokumpu’s direct CO2 emissions by about 200,000 tons annually, equivalent to roughly 20pct of its global direct emissions. Norsk e-Fuel will lead development, engineering, financing and customer engagement, with estimated investment costs of EUR 1.2-1.5 bln (USD 1.39-1.74 bln).
Outokumpu, a global leader in sustainable stainless steel, operates the Tornio plant with an annual melting and hot-rolling capacity of 1.65 mln tons and cold-rolling capacity of 1.2 mln tons. The company also runs an extensive network of production facilities across Europe and the Americas.
1 USD / 0.85 EUR
