Nordic energy firm Fortum is selling its 37.4% stake in Chempolis Oy, including Fortum’s all biobased solutions businesses, as well as in the holding company owning 40.3% in Assam Bio Ethanol Pvt Ltd to Indian energy transition solutions provider AM Green Technology & Solutions B.V.

The divestment of biobased solutions businesses is part of Fortum’s ongoing strategic review of its circular solutions businesses, it said announcing signing of an agreement with the AM Green Group entity.

State-owned Numaligarh Refinery and Finnish firms Fortum and Chempolis are joint venture partners in Assam Bio Ethanol (formerly Assam Bio Refinery) that has been formed to produce ethanol from bio mass of bamboo.

Founders of the Hyderabad-based Greenko Group are behind AM Green Group. Separately, in a release on the binding agreements, AM Green Technology and Solutions said the acquisition will provide it access to Chempolis’ next-gen 2G bio-fuel technology that enables processing of multiple 2G waste feedstocks and production of high-value green chemicals and products such as ethanol, furfural and pure lignin.

$1 billion for SAF

AM Green proposes to invest about $1 billion to develop 0.5 MTPA of alcohol-to-jet sustainable aviation fuel (SAF) plants by 2027 for global airline decarbonisation. It will also be establishing large-scale bio refineries that utilise multiple feedstocks and produce high-value green products enabling global decarbonisation in aviation, fuels, chemicals and other industrial sectors, AM Green Group Chairman Anil Chalamalasetty said.

AM Green will work with partners worldwide to establish a global bio-refinery ecosystem using a licensing model of Chempolis’s technology.