CHAR Technologies has closed the acquisition of Elkem’s biocarbon assets in Saguenay, Québec, including a 62,500-tonne offtake agreement over five years. The deal supports the scale-up of biocarbon production for industrial decarbonization.
Biocarbon is used as a substitute for coal in certain energy-intensive industrial processes, particularly in electric arc furnace operations.
The transaction, first announced on April 16, 2026, includes the pilot and demonstration production facility, associated hard assets, and proprietary intellectual property. A long-term offtake agreement secures annual supply of 12,500 tonnes to Elkem.
The Saguenay facility, commissioned in 2022, was developed to produce biocarbon pellets tailored for ferrosilicon production. Recent industrial trials confirmed the material’s performance in Elkem’s electric arc furnace operations in Canada. The site is now positioned for upgrades that could increase capacity to approximately 15,000 tonnes per year.
Once commercialized, the facility will convert CHAR Tech’s raw biochar into pelletized biocarbon designed for heavy industrial applications, including partial replacement of metallurgical coal.
The five-year supply agreement provides CHAR Tech with revenue visibility while securing a stable source of biocarbon for Elkem’s operations in North America and Europe. Both companies aim to accelerate the deployment of lower-carbon inputs in high-temperature industrial processes.
Elkem identified CHAR Tech as a strategic partner to transition its biocarbon research into scalable commercial operations. The partnership builds on CHAR Tech’s operational experience, including its commercial facility in Thorold, Ontario.
The acquisition and planned upgrades are supported by Bioveld Canada, a subsidiary of the BMI Group, through a term loan.
CHAR Technologies is a Canadian clean technology company developing high-temperature pyrolysis systems that convert wood waste and organics into renewable energy and biocarbon for industrial use.
Elkem is a Norway-based industrial group specializing in silicon-based materials and carbon solutions for a range of industrial applications.
Based on information released by CHAR Technologies.
