Bioproduct mill concept
Metsä Fibre, a leading producer of bioproducts and bioenergy, has developed an innovative bioproduct mill concept that sets new standards in resource efficiency and sustainability. This concept focuses on the comprehensive utilisation of wood raw materials and production side streams to create a diverse range of bioproducts, including pulp, biochemicals, and bioenergy. Concept combines efficient use of raw materials with energy efficiency and environmental efficiency.
At the heart of this concept is a highly resource-efficient pulp mill that transforms side streams generated during pulp production into valuable bioproducts. The bioproduct mill operates on the principles of a circular economy, ensuring that all raw materials and side streams are efficiently used. For instance, the Kemi bioproduct mill in Finland, produces 1.5 million tonnes of pulp annually and operates without fossil fuels and generates significantly more bioenergy than it consumes, contributing surplus energy to the national grid.
Metsä Fibre's bioproduct mill concept also fosters a unique bioeconomy ecosystem by collaborating with various businesses specialising in biomaterials and bioenergy. This industrial ecosystem creates extensive value chains and offers significant opportunities for small and medium-sized enterprises to develop innovative, high-value bioproducts. The concept exemplifies Metsä Fibre's commitment to sustainability, resource efficiency, and the transition towards a fossil-free future.
Potential future developments
The bioproduct mill concept was originally created for designing and building Metsä Fibre’s Äänekoski bioproduct mill which started production in 2017. Since that, the concept has been further developed, and the evolving concept has been realised in Metsä Fibre’s second bioproduct mill that started operations in 2023 in Kemi, Finland. Going forward, the concept will be evolved even further.
Metsä Fibre continues to invest in cutting-edge technology and infrastructure to enhance the efficiency and sustainability of its production facilities. These investments ensure that the Metsä Fibre mills are material, energy and environmental efficient throughout the production process and the mill’s life cycle.
Metsä Fibre’s bioproduct mills are designed to maximise energy efficiency through closed loops and the utilisation of 100% of side streams. The mills produce significantly more bioelectricity than they consume, contributing to energy security and sustainability. Commitment to resource efficiency, decarbonisation and environmental efficiency aligns with global efforts to combat climate change and transition to a low-carbon economy.
The bioproduct mill concept has created thousands of jobs throughout the value chain, including new positions in the mills and associated businesses. This not only boosts local employment but also strengthens the regional economy by diversifying the structure of the Finnish forest economy and bioeconomy. The mills foster a unique bioeconomy ecosystem, offering significant opportunities for small and medium-sized enterprises to develop innovative, high-value bioproducts.
Overall, Metsä Fibre’s bioproduct mill concept is set to evolve as a flagship project of the EU bioeconomy, driving economic growth, environmental benefits, and societal well-being.
Current contribution
Bioproduct mill concept ensures the complete utilisation of wood raw materials and production side streams to produce a diverse range of bioproducts, including pulp, biochemicals, and bioenergy. It combines efficient use of raw materials with energy efficiency and environmental efficiency.
Metsä Fibre’s first bioproduct mill, started in Äänekoski in 2017, has created over 2,500 jobs throughout the value chain in Finland, including 1,500 new positions. This not only boosts local employment but also strengthens the regional economy by diversifying the structure of the Finnish forest economy and bioeconomy.
The bioproduct mills foster unique bioeconomy ecosystems by collaborating with various businesses specialising in biomaterials and bioenergy. This industrial ecosystem creates extensive value chains and offers significant opportunities for small and medium-sized enterprises to develop innovative, high-value bioproducts.
Bioproduct mills operate on the principles of a circular economy, ensuring that all raw materials and side streams are efficiently used. The mills generate more bioenergy than they consume, contributing significant amounts of surplus energy to the national grid. For example, the Kemi bioproduct mill produces tall oil and turpentine, as well as 2 terawatt hours of renewable electricity per year, which is equivalent to the annual consumption of 100,000 electrically heated single-family homes. This supports the EU’s renewable energy goals and reduces reliance on fossil fuels.
Metsä Fibre’s bioproduct mill concept is a flagship project of the EU bioeconomy, demonstrating how resource efficiency, sustainability, and innovation can drive economic growth and environmental benefits. This “made in Europe” innovation showcases the region’s leadership in sustainable industrial practices and its commitment to a fossil-free future.

Contact
Timi Hyppänen
timi.hyppanen@metsagroup.com