CRI has developed technology that recycles CO₂ to green methanol, and has landed a major contract in China. It is now moving to listing on Euronext Growth.
– The majority of the consumer products we use in daily life are produced in plants using traditional fossil fuels. This must be replaced as soon as possible, says Ingolfur Gudmundsson.
He is head of the Icelandic company Carbon Recycling International (CRI), which has developed a technology that converts carbon dioxide (CO₂) and hydrogen (H2) into “green” methanol.
CRI has now acquired Chinese petrochemical company Jiangsu Sailboat, which will use the technology to recycle 150,000 tons of CO 2 and 20,000 tons of H2 from its annual industrial production.
On the other hand, there will be an annual volume of 100,000 tons of recycled methanol, which is the main raw material in the Chinese company’s production of various plastic and polymer products, such as solar panels and plexiglass.
– The recycled carbon-methanol will replace parts of the need for coal at the factory, and contribute to a significant shift, says Gudmundsson.
According to CRI, the recovery of CO₂ from this contract alone has an effect equivalent to taking 53,000 cars with fossil oil off the roads.
– If you compare the reduction with the prevention of the use of fossil products, the climate benefit is as much as 550,000 tons of CO₂ per year, says Gudmundsson.
Will raise up to $ 50 million
The plant in China will be owned and operated by Jiangsu Sailboat. Operations are expected to begin in 2023.
The cost of the project is estimated at about 35 million dollars, which corresponds to just over 300 million Norwegian kroner.
CRI plans to list Euronext Growth in the fourth quarter, and has included brokers Sparebank 1 Markets and Nordea Markets as facilitators.
Ómar Sigurbjørnsson, Director of Sales and Marketing at CRI, informs E24 that the company was valued at $ 100 million, just over $ 855 million at the current exchange rate, in the previous issue round.
The company now plans to raise $ 30-50 million in new equity in connection with the listing.
The list of current shareholders includes strategic investors such as the Chinese car giant Geely, which is behind brands such as Volvo and Polestar. Canadian Methanex, the largest producer of methanol in the world, is also on the side of the owner.
The other shares are owned by the investment company Eyrir, the Nordic fund Nefco and several wealthy Icelandic families.
Collaborates with Statkraft
Jiangsu Sailboat Petrochemical sells about 2.4 million tons of chemical products annually, and had a turnover of almost 400 billion NOK last year.
The facility, which is turnkey designed and supplied by CRI, will be located in Lianyungang city, in Jiangsu province on the east coast of China.
– The world market for methanol is 100 million tons annually, and half of it comes from China. At the same time, it is expected that a need of 400 million tonnes of green, sustainable methanol will meet the demand of the chemical sector by 2050, says Sigurbjørnsson.
CRI is also collaborating with Statkraft to develop the first commercial plant for the production of “green eMethanol”.
The plant will be located at Finnfjord’s production plant in northern Norway, where CO₂ will be collected from Finnfjord’s ferrosilicon plant and hydrogen from electrolysis of water with sustainable electricity will be used as raw material at the plant.