Outokumpu to Produce Biochar at Mukran Port

The Mukran Port on the island of Rügen gains a strategically significant partner for the further development of the site with Outokumpu, the world’s leading provider of sustainable stainless steel. The Finnish company will establish an innovative facility for the production of biochar at Mukran Port in the coming years.

(Mukran) With an investment of around 40 million euros and the creation of up to 25 qualified, permanent jobs, Outokumpu underscores the importance of the port for forward-looking technologies and sustainable production.

The use of bio-based raw materials is a sustainable way for Outokumpu to reduce direct emissions in the steel production process. In the new facility, biochar will be produced from wood secondary raw materials using an innovative high-temperature process. The fine granulate obtained, which resembles “black sand,” will then be shipped via Mukran Port for further processing into biocoke pellets to Tornio in Finland.

Milestone for Climate-Friendly Steel Production

The biochar produced in Mukran can be used to replace conventional coal or fossil energy sources in various phases of stainless steel production. With this technology, Outokumpu sets a milestone towards more climate-friendly steel production, as about 50 percent of Outokumpu’s direct emissions could be reduced through the use of biocoke.

Fridjof Ostenberg, Managing Director of Mukran Port, emphasizes the strategic importance of the settlement: “Outokumpu’s decision for Mukran is the result of an intensive process. It shows how attractive our port is for companies that rely on multimodal transport chains. The planned delivery of raw materials by rail and the shipping of the end product by sea strengthen the logistical diversity of the site. With Outokumpu, we not only gain a world-leading company in its industry but also increase the attractiveness for further potential industrial customers and support the transformation of the site regarding new energy sources.”

Stefan Erdmann, Chief Technology Officer at Outokumpu, also highlights the advantages of the location: “Mukran Port has convinced us with its combination of existing industrial spaces, modern infrastructure, and excellent hinterland connections. The short sea routes to Finland also enable efficient and more environmentally friendly logistics. We look forward to further developing this site together.”

The facility is not only technologically innovative but also contributes to the regional energy transition. By feeding the by-products from the production process, especially the resulting waste heat, into the district heating network of the island of Rügen, it will support local energy needs.

Sassnitz’s mayor, Leon Kräusche, welcomes this sustainable use: “By feeding waste heat into the district heating network, we not only contribute to ecological energy supply but also expect stable energy prices for the citizens of the city of Sassnitz.”

Status as a Key Location

With this settlement, Mukran Port confirms its status as a key location for innovative and sustainable projects. Outokumpu exemplifies how industry and environment can be harmonized – a strong signal for the economic future of the region.

Photo: © Mukran Port