The City of Imatra and the Norwegian company Freija AS have signed an agreement on the reservation of land for the Pelkola industrial area.

The City of Imatra and Freija AS, which is developing e-methane production plants, have agreed to reserve approximately 13 hectares in the Pelkola industrial area.

The company's aim is to develop a plant in the area that would produce e-methane using electricity and bio-based carbon dioxide. The plant would be connected to the Finnish and, through it, European natural gas grid. The e-methane it produces is intended to be distributed to heavy-duty vehicles as a replacement for fossil natural gas.  

Freija is responsible for project development, including obtaining permits, technical design, financing and construction. If everything goes according to plan, the plant could be operational by 2031. 

Freija is part of the Norwegian Vanir Green Industries group, which aims to develop and scale clean transition investment projects. The company is currently developing a similar project in the Tampere region.   

The Pelkola area is fully booked. 

Fear town plan update has started last summer 2024. The goal is to complete the plan by summer 2026.

An agreement has already been signed for the area area reservation agreement with Norwegian Norsk-e-FuelAfter Freija AS reserved the area, the area is now practically fully booked. 

-Freija brings strong expertise and the project relies on the strengths of the area, which include good electricity connections, logistics infrastructure and a gas network. We are confident in the company's ability to develop a commercially viable plant in the area, says the mayor Matias Hilden.  

-Freija is looking for industrial sites with the right characteristics to produce clean fuel on a large scale at a competitive price. The Imatra plant is ideal for e-methane production because it is located close to critical infrastructure such as the gas network, rail transport, water supply and electricity grid. We are very pleased with the area reservation made for Imatra and the support we have received from the city, CEO of Freija AS Kristian Hauglum says. 

The development of the Pelkola area will also require investments from the transmission grid company Fingrid.  

"Discussions with Fingrid and also with the state leadership give confidence that the area's electricity supply will be secured," says Mayor Hilden. 

The area reservation is scheduled to be discussed on Tuesday, 25.3, by the Economic Development and Urban Environment Committee and in April by the City Council. 

For more information: 

Mayor Matias Hilden, City of Imatra, matias.hildenimatra.fi (matias[dot]hilden[at]imatra[dot]fi), tel. 020 617 2200 

CEO Kristian Hauglum, Freija AS, khfreija.no (kh[at]freija[dot]no), phone +47 417 51 290