Global Agriculture

Reduced climate impact and strengthened food supply – Fertiberia, Lantmännen, and Nordion Energi are investing to develop Sweden’s first fossil-free mineral fertiliser factory

20 February 2024, Sweden: In the largest initiative of its kind in the Nordic region, Fertiberia, Lantmännen, and Nordion Energi announce a partnership aimed at establishing Sweden’s first fossil-free mineral fertiliser production through the joint initiative Power2Earth. Through its hydrogen-based production process relying on fossil-free energy, Power2Earth has the potential to significantly reduce carbon dioxide emissions from food production. The initiative is also an important step in enabling a robust Swedish food supply. Production is scheduled to start by the end of 2028, with the total investment estimated to around 2 billion euros, with partners planning to contribute with varying amounts in the final investment phase.

The establishment represents a significant step in Sweden’s green transition and increased self-sufficiency. Power2Earth builds upon technology developed by Fertiberia, a leading producer of fossil-free mineral fertilisers. The collaboration is based on a shared vision of a sustainable and resilient agricultural and food production, combining the strengths, expertise, and experience of each partner. By utilizing an electrolysis technology based on renewable energy, Power2Earth aims for the lowest possible emissions in the production process.

The project was initiated in 2021, and since then, several feasibility studies have been completed, along with securing land for the factory establishment in Luleå. Currently, preparations are underway for an environmental permit application, which is scheduled to be submitted in the second quarter of 2024.

Javier Goñi, CEO of Fertiberia, says: “Fertiberia brings its industrial experience of more than five decades in the production, operation and logistics of ammonia, as well as its leadership in driving green hydrogen to decarbonise the agriculture sector with state-of-the-art fertilisers. We are also proud to contribute to the achievement of Sweden’s ambitious CO2 emission reduction targets while providing regional growth and building a more resilient food supply with reduced dependence on imports.”

Through Power2Earth’s production of fossil-free mineral fertiliser in Luleå, there is a potential to reduce emissions by around 1.6 million tons of carbon dioxide, which corresponds to approximately 25 percent of emissions from Swedish agriculture. The innovative technology, based on fossil-free hydrogen, positions Power2Earth as a key player in the green transition within the Swedish food sector.

With a production capacity of one million tons of mineral fertiliser annually, Power2Earth also has significant potential to increase the resilience of Swedish food production, in line with Sweden’s national food strategy and ambitions regarding enhanced preparedness capability. This is achieved by reducing dependency on imports and improving conditions for domestic food production and increased Swedish self-sufficiency.

Per Arfvidsson, Deputy CEO and CTO at Lantmännen, says: “Power2Earth is revolutionary for the Swedish agricultural and food industry as fossil-free mineral fertiliser is crucial for creating a sustainable, efficient and future-proof food chain. Domestic production of mineral fertiliser reduces Sweden’s overall dependence on fertiliser imports and is essential for developing a robust food preparedness. We are pleased to now take the next step and establish Power2Earth together with Fertiberia and Nordion Energi.”

Power2Earth also becomes a positive addition to the industrial landscape of Norrbotten. By introducing production of fossil-free mineral fertiliser and access to renewable hydrogen in the region, Norrbotten is positioned as a hub for the continued expansion of hydrogen. The establishment also strengthens regional growth and diversifies the region’s industry.

Hans Kreisel, CEO of Nordion Energi, says: “Power2Earth is the first step on the Nordic Hydrogen Route, a 1000-kilometer-long underground hydrogen pipeline connecting Sweden and Finland. Hydrogen is central to Norrbotten’s long-term diversification of the industrial sector, and through the Power2Earth project, we illustrate how the new hydrogen infrastructure is cost-effective, delivers energy security, and reduces carbon dioxide emissions. We are proud to contribute to regional gren transition, economic development, and Swedish self-sufficiency together with Fertiberia and Lantmännen.”

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