AM Green enters biofuels market with acquisition of Chempolis, Fortum 3 BV

New Delhi: AM Green Technology and Solutions BV has signed binding agreements to acquire Chempolis Oy and Fortum 3 BV, marking the entry of its parent company AM Green into the biofuels market.

AM Green Technology & Solutions also announced plans to invest $1 billion over the next three years in the production of sustainable aviation fuel (SAF). On July 22, Mint reported that AM Green plans to invest $1 billion in biofuels and intends to acquire Finnish company Chempolis Oy.

The development is significant as India is aggressively pushing for the adoption of biofuels – ethanol, blended gasoline and SAF. The Global Biofuels Alliance (GBA) was formed last year during India’s presidency of the G20 to promote biofuels globally.

Also read: Global Biofuels Alliance to prepare charter and finalize governance structure

Chempolis Oy is a major player in the processing of lignocellulosic feedstock, with research, technological capabilities and product development experience spanning more than 15 years. Lignocellulosic feedstock is a plant biomass consisting of cellulose, hemicellulose and lignin. It is a renewable resource that can be used in many applications.

“Chempolis’ technology will enable the processing of a wide range of 2G waste feedstocks and the production of valuable green chemicals and products such as ethanol, furfural and clean lignin, accelerating AM Green’s vision to become the world’s leading industrial decarbonization platform,” the company said in a statement.

Anil Chalamalasetty, Chairman of AM Green Group, said: “We are excited to partner with Chempolis to advance the processing of 2G lignocellulosic feedstocks. This underscores our commitment to developing innovative, technology-driven solutions to create large-scale biorefineries that leverage multiple feedstocks and produce high-value green products, enabling global decarbonization across aviation, fuels, chemicals and other industrial sectors.”

AM Green foresees significant potential in further applications of these key products, which could pave the way for it to enter green chemistry value chains in several sectors, including consumer and industrial applications, the statement said.

Global Biorefinery Ecosystem

The company said it will work with partners around the world to establish a global biorefinery ecosystem by licensing Chempolis technology. The company also said it will further develop Chempolis’ technological capabilities to process a broader range of feedstocks, transforming them into high-value green products tailored for a variety of consumer and industrial applications.

The company, backed by Greenko Group founders Mahesh Kolli and Anil Kumar Chalamalasetty, aims to establish its presence across the energy transition ecosystem, including green hydrogen, green ammonia, biofuels, e-methanol, SAF and fine chemicals.

Last week, AM Green Ammonia BV, another subsidiary of AM Green, partnered with RWE Supply & Trading of Germany to supply green ammonia. Deliveries from the Indian plant are expected to begin by 2027.