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Taking biogas to new heights – Shell acquires Danish company Nature Energy

Earlier this week, it was announced that Shell will acquire the Danish biogas producer Nature Energy for DKK 14.3 billion (approx. EUR 1.9 billion) subject to regulatory approvals. Nature Energy is the largest biogas producer in Europe with in-house expertise in design, construction, and operation of innovative and differentiated renewable natural gas plant technology. The company produces biogas from agricultural, industrial, and household waste.
What
Bioenergy Cleantech Green Maritime and Transport
In 2017, a consortium of institutional investors including Davidson Kempner Capital Management LP and Pioneer Point Partners invested approximately DKK 1 billion in Nature Energy together with Sampension. The investors have a strong track record of developing and building market leaders within the green transition in Europe and they have been instrumental in helping Nature Energy scale and develop to become the largest biogas (also known as biomethane or RNG) producer in Europe through both organic growth and strategic investments.

An impressive growth journey

In the past five years, Nature Energy has had an impressive growth journey from 80 to over 400 employees while scaling from four to 14 biogas plants with associated infrastructure and feedstock arrangements. The company has also expanded internationally to new markets, all while developing the core technology to improve efficiency and increase the economic viability of biogas production.

Now, Nature Energy has a pipeline of around 30 new plant projects in Europe and North America, with more than a third of these projects in medium to late development stage in Denmark, the Netherlands and France, subject to future final investment decisions and relevant regulatory approvals.

Nature Energy is a prime example of Denmark’s ability to develop sustainable green solutions, helping to decarbonise energy systems while providing secure and sustainable energy to the market and supporting the circular economy.

The investment from Shell showcases biogas production as a competitive option to help decarbonise multiple sectors including commercial road transport, marine, heating and heavy industry. The sustainability benefits are amplified by the processing and use of methane that could otherwise be released to the atmosphere from the decomposition of organic by products and waste.

About biogas in Denmark

Denmark has set very ambitious targets to reduce its CO2 emissions by 70% by 2030, where biogas is among the solutions. 

  • In 2021, 25% of gas consumption was already covered by biogas. 

  • In 2022, that share is expected to grow to almost 40%. 

  • The latest political energy agreement in Denmark will ensure a continued and significant future ramp up of biogas. 

  • It is estimated to supply between 75%-100% of all gas consumption in Denmark by 2030.

 

get in touch Want to know more about biogas opportunities in Denmark?

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