Södra will launch a carbon capture pilot at its Värö pulp mill in early 2026, marking a key step in Sweden’s forest industry toward circular and climate-positive operations.
The initiative will test biogenic carbon dioxide capture technology and assess how it can be transformed into new products and business opportunities.
The project aligns with Södra’s long-term strategy to enhance resource efficiency, increase the value of each tree, and strengthen both industrial competitiveness and forest owner profitability. By capturing and refining biogenic CO₂ from pulp production, the company aims to extend its value chain without increasing raw material extraction from the forest.
Captured carbon dioxide can serve as a feedstock for multiple applications, including food and chemical production, water purification, and building materials. It can also be permanently stored to achieve negative emissions, supporting broader climate objectives.
“Carbon capture has the potential to generate new revenue streams and reinforce our customer offering,” said Johannes Bogren, Business Area Manager at Södra Bioproducts. “By utilizing biogenic CO₂, we can meet growing market demand for low-climate-impact products and ensure long-term competitiveness.”
The pilot facility, using technology developed by Canada-based Svante Technologies, will operate within Södra’s Värö plant. According to Jenny Gotthardsson, Site Manager at Södra Cell Värö, testing the system in a real production environment is crucial for evaluating its industrial viability. “It’s an important step in building expertise, driving innovation, and developing solutions that benefit both our operations and forest owners,” she said.
During certain phases, a liquefaction unit from the research institute RISE will be integrated to study the complete process—from CO₂ capture to liquid storage. The project aims to assess both the technological and commercial potential of large-scale carbon capture and utilization, contributing to new sustainable value chains within the bioeconomy.
Funding for the project comes from Industrial Step, a program under the Swedish Energy Agency, supported by the EU’s Recovery and Resilience Facility (RRF) through the Next Generation EU initiative.
Founded in 1938, Södra is Sweden’s largest forest owners’ association and a leading producer of pulp, paper, and wood products from renewable raw materials. Owned by around 50,000 forest-owning members, the cooperative operates across southern Sweden, focusing on sustainable forestry, innovation, and value creation in the bioeconomy.
