The City of Imatra and Freija AS, a company specializing in the development of e-methane production plants, have agreed on a land reservation of approximately 13 hectares in the Pelkola industrial area.
The company’s intention is to develop a facility that would produce e-methane using electricity and biogenic carbon dioxide. The plant would be connected to the Finnish—and through it, the European—natural gas network. The produced e-methane is intended for distribution to heavy-duty transport as a replacement for fossil natural gas.
Freija will be responsible for project development, including permitting, technical design, financing, and construction management. If all goes according to plan, the plant could be operational by 2031.
Freija is part of the Norwegian Vanir Green Industries group, which focuses on developing and scaling clean transition investment projects. The company is also currently developing a similar project in the Tampere region.
The update of the Pelkola local detailed plan began in summer 2024. The goal is to have the zoning completed by summer 2026.
A land reservation agreement has already been signed in the area with the Norwegian company Norsk-e-Fuel. After the land reservation by Freija AS, the area is now effectively fully booked.
“Freija brings strong expertise, and the project builds on the area’s strengths, which include good electricity connections, logistics infrastructure, and the gas network. We are confident in the company’s ability to develop a commercially viable facility in the area,” says Mayor Matias Hilden.
“Freija is looking for industrial sites with the right attributes to produce clean fuels at scale and at competitive cost. The Imatra plant is ideal for e-methane production as it is close to critical infrastructure, such as the gas grid, rail transport, water services, and the electricity network. We are very pleased with the land reservation in Imatra and the support we have received from the city,” says Freija AS CEO Kristian Hauglum.
Developing the Pelkola area will also require investments from the transmission system operator Fingrid.
“Discussions with Fingrid and also with the central government give us confidence that the electricity supply to the area will be secured,” says Mayor Hilden.
The land reservation is scheduled to be discussed by the Economic and Urban Environment Committee on Tuesday, March 25, and in the City Council in April.
City of Imatra press release, March 17, 2025
More information:
Mayor Matias Hilden
matias.hilden@imatra.fi, tel. +358 20 617 2200
CEO Kristian Hauglum
kh@freija.no, tel. +47 417 51 290