Taaleri's investment Joensuu Biocoal Oy to build a bioindustrial plant producing torrefied biomass in Joensuu

TAALERI PLC                      PRESS RELEASE         25 JANUARY 2022 AT 9:00 (EET)

Taaleri's investment Joensuu Biocoal Oy to build a bioindustrial plant producing torrefied biomass in Joensuu

Taaleri's investment Joensuu Biocoal Oy will build a bioindustry plant producing torrefied biomass in Joensuu. Taalerin Plc's Board of Directors has made an investment decision. The Center for Economic Development, Transport and the Environment has granted EUR 3.4 million in support of the project from the European Regional Development Fund, and the Climate Fund has granted a capital loan of EUR 5.0 million to the project. A number of Finnish family-owned investment companies have also invested in the project. The value of the investment is approximately EUR 20 million.

Torrefied biomass replaces the use of coal in the cement and steel industries, for example. It can also be used in soil improvement and water treatment.

Construction of the bioindustry plant will begin in spring 2022 and the plant is expected to start production in mid-2023. The planned total production of the plant is about 60,000 tons of torrefied biomass per year. The mill uses by-products from the forest industry and forestry as raw material, and it uses annually approximately 250,000 cubic meters of biomass, mainly bark and first thinnings. The torrefication technology used in the project is based on technology by NextFuel AB that is developed in close collaboration with ANDRITZ AG.

The bioindustry plant will be built on the site of Savon Voima Oyj's Iiksenvaara CHP plant. In addition to the land, Savon Voima leases certain equipment to the bioprocess plant and provides services to it. There is also a plan to build a cluster around the plant, which includes e.g. Natural Resources Institute Finland, University of Eastern Finland, Karelia University of Applied Sciences and Business Joensuu. The group's goal is to develop products and refine new uses for torrefied biomass and biochar.

Taaleri plans to build more bioindustry plants in the future. In December, the company launched Europe's first private equity fund focusing on bioindustry projects. In addition, Taaleri has invested in a biorefinery being built in Hamina.

For more information, please contact:
Tero Saarno, Director, Bioindustry, +358 50 373 1923, tero.saarno@taaleri.com

Taaleri in brief

Taaleri is a Nordic investment and asset manager with an emphasis on renewable energy and other alternative investments. We channel capital towards economically profitable undertakings that have a lasting positive impact on the environment and society. We are a signatory of the UN Principles for Responsible Investment (UNPRI) since 2010, and we joined the Net Zero Asset Managers initiative in 2021. Taaleri’s vision is to be a Nordic forerunner in alternative investments focusing on sustainability.

Taaleri has two business segments: Private Asset Management and Strategic Investments. Private Asset Management consists of renewable energy, real estate, bioindustry and infrastructure businesses. The Strategic Investments segment includes Garantia Insurance Company Ltd.

Taaleri has EUR 2.1 bn of assets under management in its private equity funds and co-investments. The company has approximately 120 employees. Taaleri Plc is listed on Nasdaq Helsinki.

www.taaleri.com

Siri Markula, Head of Communications and IR, tel. +358 40 743 2177, siri.markula@taaleri.com