Topsoe has signed a licensing and engineering agreement with Preem to provide its HydroFlex™ technology for renewable fuels production in Sweden.

• Preem invests in revamping a major IsoCracker unit at its refinery in Lysekil, Sweden. The unit will utilize Topsoe technology and have a capacity of 1.2 million cubic meters per year (22,000 barrels per day) for the production of sustainable aviation fuel and renewable diesel. The expected start of production is 2027.
• The partnership builds on years of cooperation between the two parties to produce renewable fuels, including at Preem’s refinery in Gothenburg.

Topsoe, a global technology and solutions provider for the energy transition, has signed a licensing and engineering agreement with Preem, Sweden’s largest fuel company, to produce Sustainable Aviation Fuel (SAF) and renewable diesel, using Topsoe’s HydroFlex™ technology.

The demand for SAF is rapidly growing. According to the International Energy Agency’s Net Zero Scenario, over 10% of fuel consumption in aviation by 2030 needs to be SAF to stay on course for net zero CO2 emissions by 2050. In 2022, the International Air Transport Association estimated global SAF production to make up only around 0.1% to 0.15% of total jet fuel demand.

At Preem’s lysekil refinery in Sweden, Topsoe’s HydroFlex™ technology will be utilized in Preem’s IsoCracker (a unit that breaks down molecules into lighter components. Topsoe will thereby supports Preem’s long-term target of producing five million cubic meters of renewable fuels and achieving a climate neutral value chain by 2035. Once the revamped Lysekil refinery starts operating in 2027, Preem will become one of Northern Europe’s biggest producers of SAF.

The partnership builds on years of cooperation with Preem to produce renewable fuels, including at Preem’s refinery in Gothenburg. Together, Topsoe and Preem will work to increase production of renewable fuels, SAF included.

Elena Scaltritti, Chief Commercial Officer at Topsoe, said:
“Society needs a significant upscaling of renewable fuels for aviation. We’re excited to take another step on the path to reduce carbon emissions in the transportation sector and aviation in particular. Together with Preem, we already have a proven track-record of delivering impactful results within renewable fuels production, and we’re looking forward to continuing working with Preem on this important task.”

Peter Abrahamsson, Director of Sustainable Development at Preem, said:
“We’re thrilled about the revamp of Lysekil refinery, which is one of the most significant climate investments in Sweden. The demand for sustainable aviation fuels is increasing rapidly, and we are already in dialogue with several major airlines. With this investment, Preem takes another decisive step in the transition from fossil to renewable production. We’re happy to continue working with Topsoe on increasing renewable fuels production.”

What is HydroFlex™
With HydroFlex™, customers can convert various fats, oils and greases into drop-in renewable jet and diesel that meet all globally accepted specifications for these fuels. Topsoe’s HydroFlex™ can be deployed in both grassroots units and revamps for co-processing or fully renewable applications.