The biorefinery will produce annually about 100,000 tonnes of advanced second generation biodiesel for transport.
Construction of the biorefinery will begin in 2012 at UPM’s Kaukas mill site and will be complete in 2014.
UPM president and CEO Jussi Pesonen said the quality of end product and its environmental characteristics has gained significant interest among a wide range of customers, and the investment is profitable.
"Lappeenranta is the first step on UPM’s way in becoming a significant producer of advanced second generation biofuels," added Pesonen.
UPM ‘s advanced biodiesel, UPM BioVerno, will decrease greenhouse gas emissions of transport up to 80% in comparison to fossil fuels.
