Metsä Group’s planned wood-based carbon dioxide capture plant in Rauma has been awarded EUR 21 million in aid through the reverse auction organised by Finland’s Ministry of Economic Affairs and Employment. In addition to supporting climate change mitigation, carbon dioxide capture would create new business opportunities.
“Receiving this aid is one of the key prerequisites for making the investment. We are talking about building an entirely new industrial value chain, in a market that is only beginning to take shape. The positive decision means that we can continue planning the plant. We are very pleased with the Ministry’s decision,” says Maria Mroué, VP, Communications and Brand, Metsä Group.
In the Ministry’s reverse auction, aid was granted to projects requiring the lowest amount of support per unit of carbon dioxide capture capacity to be built.
In Metsä Group’s project, carbon dioxide would be captured from the flue gases of the recovery boiler at the Rauma pulp mill.
Investment decision no earlier than early 2027
The final investment decision can be considered at the beginning of 2027 at the earliest. In addition to the aid, the investment decision is subject to obtaining an environmental permit, completing the engineering of the capture plant, and securing sufficient market demand. The aid will only be paid if the investment is carried out.
Capturing biogenic carbon dioxide, such as carbon dioxide originating from wood, supports climate change mitigation by replacing fossil carbon. The project would also create new business opportunities by turning an existing side stream into a new commercial product.
The planned carbon capture capacity in Rauma would be 100,000 tonnes of carbon dioxide per year. Metsä Group’s customers would use the captured carbon dioxide in the production of e-fuels. Using 100,000 tonnes of wood-based carbon dioxide annually in a fuel value chain would avoid fossil carbon dioxide emissions equivalent to the annual emissions of nearly 30,000 passenger cars.
Read more about the project in Metsä’s press release published on 31 March 2026.
Further information:
Krista Kimmo, Communications Manager, Metsä Group, Tel. +358 50 526 4911
Metsä Group
www.metsagroup.com
Metsä Group has its roots in the Finnish forest: our parent company Metsäliitto Cooperative is owned by approximately 90,000 forest owners. We make wood products that people around the world need every day. We focus on pulp, paperboards, tissue and greaseproof papers, wood products, and wood supply and forest services. We are committed to regenerative forestry that measurably strengthens the forest ecosystem. We promote a culture of diversity, equality and inclusion.
In 2025, our sales totalled EUR 5.8 billion, and we employ about 8,800 people.