Kanteleen Voima is planning to build a biorefinery that would produce ethanol fuel from wood next to the thermal power plant in Haapavesi. The refinery would produce lignin and biogas as well as sludge, which could be used as fertiliser, as by-products. At the same time, the existing peat-fired power plant would be developed into a more efficient CHP plant that would satisfy strict environmental requirements and improve profitability by adding steam production to the existing electricity generation process.

The NordFuel refinery would employ a significant number of people locally, generate electricity flexibly and produce 65.000 tonnes of ethanol for transport every year. The refinery would also have the capacity to produce 250 GWh of biogas each year, which would make it the biggest producer of biogas in the Nordic countries.

The biorefinery is expected to begin operating in 2021. The total value of the investment is EUR 150 million.