Together with Andion CH4 Renewables and Equitix New Generation Fund, Gotland Company will erect a biogas production plant near Eskilstuna, scheduled for commissioning in 2026.

The bulk of the 5,400 tonnes/year output has been earmarked for Destination Gotland's two gas-run ferries, which currently sail on a blend of liquefied natural gas (LNG) and its bio version.

Gotland Company said that it has already secured the feedstock supply so that biogas production could start in Q2 2026.

Within a decade, replacing LNG with bioLNG will reduce the ferry line's CO2 footprint by some 100 thousand tonnes.

Eskilstuna Biogas is responsible for constructing the production plant.

"We are pleased that we could take another step towards our goal of offering climate-neutral transport between Gotland and the Swedish mainland by 2045 at the latest. Access to fossil-free bunker is today far too little for the transition of both sea shipping and other transport modes. Through this business we're contributing to an increased production of high-quality biogas, securing up to 10% of Gotland traffic's demand," Håkan Johansson, CEO, Gotland Company, said.

Destination Gotland's CEO, Marcus Risberg, added, "Bunker is the single biggest operational cost for our company, likewise stands as our largest impact on the environment, and we're securing a considerable volume of high-quality biogas for a ten-year period. The business forms part of our preparatory work for those regulations that are entering into force, such as FuelEU Maritime."

Johansson also commented on the company's work on the hydrogen-powered vessels, "When working on the next-generation ships we see immense challenges with access to bunker. Our long-term goal is to run the traffic on hydrogen and other fossil-free bunkers, but the required volumes will only come in the distant future. That is why it's important to invest in and secure the supply of other fossil-free fuels today."

Photo: Gotland Company