AlwaysFree: Lenzing Speeds Up Energy Transition at Its Site in Heiligenkreuz

• Lenzing acquires biomass power plant to supply the Burgenland lyocell plant
• Strategic investment in energy independence, site security and CO2 reduction
• Strengthening the eco-responsible specialty fiber portfolio

According to the company’s website press release on May 27, 2023, the Lenzing Group, a world-leading provider of specialty fibers for the textile and nonwovens industries, signed a contract for the acquisition of the 43 MW biomass power plant of ENERGIE 42 Beteiligungs GmbH located in the Heiligenkreuz business park (Burgenland). The execution of the transaction is in particular subject to regulatory approvals and is expected in the second quarter of 2023. This strategic investment will significantly reduce the dependence on fossil energy at the Lenzing production site in Heiligenkreuz. Around 50 percent of the natural gas currently used can be replaced by energy from renewable sources in the future.

The Lenzing Group produces eco-responsible TENCEL™ and VEOCEL™ branded lyocell fibers as well as a variety of premium fibers such as TENCEL™ branded fibers with REFIBRA™ technology or carbon-zero TENCEL™ Lyocell fibers for the textile and nonwovens industries at Heiligenkreuz. Previously, the site was heavily dependent on natural gas with a share of renewable energy through biomass and biogasless than ten percent. The exclusive use of biomass from the nearby power plant will enable the site to reduce its CO2 emissions associated with energy use by around 50,000 tons of CO2 per year. Lenzing’s specialty fibers contribute to significantly lower CO2 emissions throughout the supply chain and help Lenzing’s customers, especially brands and retailers, achieve their climate and sustainability goals.

“With this strategic investment, we are making an important contribution to site security and strengthening our range of eco-friendly specialty fibers. In the future, we will invest even more in sustainable energy concepts to further reduce our CO2 emissions in line with our ambitious climate target,” says Christian Skilich, Chief Pulp Officer and Chief Technology Officer of the Lenzing Group.

In line with the Paris Agreement and the United Nations Sustainable Development Goals, Lenzing made a strategic commitment in 2019 to reduce its CO2 emissions per ton of product by 50 percent by 2030. Lenzing also aims to achieve carbon-neutrality by 2050. The Science Based Target Initiative validated the target against scientific criteria, making Lenzing the first manufacturer of wood-based cellulosic fibers with an approved science-based target.

With the acquisition of the biomass power plant, Lenzing is accelerating the transition to renewable energies and, thus, also the achievement of its climate targets. This consistent step also opens up opportunities to develop other renewable energy sources, such as photovoltaics, to a greater extent in the future.

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