Stockholm Exergi’s large-scale BECCS (bioenergy with carbon capture and storage) project has entered construction after a final investment decision.
Using Capsol Technologies’ carbon capture solution, it will permanently remove 800,000 tonnes of CO₂ annually from 2028.
The project is backed by Microsoft and Frontier Group through long-term offtake agreements.
With EUR 180 million from the EU Innovation Fund, it marks a major step in carbon removal markets.
Microsoft has committed to 3.33 million tonnes, while Frontier Group, including Meta, Stripe, Alphabet, Shopify and McKinsey, has invested around USD 50 million, positioning Capsol as a leader in negative emissions technology.
Wendy Lam, CEO of Capsol Technologies said the deal was a game changer: “It sets a global precedent for BECCS deployment and further strengthens confidence in Capsol’s technology.”
Capsol’s solution offers 20–60% lower levelised capture costs by integrating heat recovery and generation. Designed for energy-from-waste and biomass plants with limited excess heat, it operates as a stand-alone unit.
“With the first FID for a large-scale project using our technology now in place, we expect this to accelerate commercial traction and de-risk adoption across industries,” said Lam.
Stockholm Exergi’s decision highlights the scalability of BECCS and Capsol’s growing role in enabling carbon-negative projects globally.
