19.10.2026 | News
Fremsyn is scaling biomethane production in Denmark by upgrading an existing biogas facility and introducing carbon capture and e-methane solutions. Nefco’s financing enables the full investment and supports the deployment of advanced technologies.
Nefco – the Nordic Green Bank – has signed a EUR 6 million financing agreement with the Danish biogas company Fremsyn to support the acquisition and upgrade of a biogas facility in northern Jutland, Denmark.
The investment will enable Fremsyn to acquire and modernise the Vegger biogas plant. The project will increase biomethane production, strengthen integration with the national gas grid and introduce technologies such as carbon capture and hydrogen-based methanation. Biomethane is a flexible, low-carbon alternative to fossil gas and plays an important role in achieving the EU’s climate and energy targets.
Increasing production and introducing new technologies
The project will increase annual biogas production from approximately 37 GWh to up to 52 GWh. The upgrade includes grid connection, a biogas upgrading unit and carbon capture capable of capturing up to 5,000 tonnes of CO₂ annually, as well as an electrolyser to convert captured CO₂ into e-methane.
Further expansion phases will increase capacity and efficiency, with full completion expected by 2028. Part of the project is supported by the Danish Energy Agency and will demonstrate the integration of electrolysis into biomethane production. The increased biomethane output will be certified with Guarantees of Origin and supplied to a Swiss customer under a long-term agreement, with volumes reaching 48 GWh annually from late 2027.
Fremsyn expanding circular energy solutions
Fremsyn, founded in 2017, develops, constructs, and operates biogas facilities and engages in trading with biomethane and Guarantees of Origin through its subsidiaries. The Vegger project marks an important step in scaling biomethane production and advancing circular energy solutions.
In addition, Fremsyn is participating in Nefco’s ongoing Biodiversity Pilot Programme, which supports companies in identifying nature-related risks and opportunities and taking concrete action to integrate biodiversity considerations into their operations.
“With the upgrade of the Vegger facility, we are taking an important step in scaling up biomethane production and introducing new technologies such as carbon capture and e-methane, allowing us to reduce emissions and deliver renewable gas to our customers. We are very pleased to be able to realise this important project through partnership with Nefco and other financing partners,” says Knud Boesgaard, CEO of Fremsyn.
Enabling investment through blended finance
Nefco’s loan is provided to Fremsyn’s trading subsidiary Biogem A/S and channelled to the project through the group. The financing helps enable the overall investment alongside other financiers, while supporting components that are often harder to finance.
“This investment shows an example of how the green transition can be accelerated by upgrading existing infrastructure and integrating new technologies. By supporting biomethane production together with carbon capture and hydrogen solutions, emissions are reduced while strengthening Europe’s energy resilience,” says Søren Berg Rasmussen, Senior Investment Manager at Nefco.
For more information, please contact:
Søren Berg Rasmussen, Senior Investment Manager, Nefco
+358 10 6180 674, soren.rasmussen@nefco.int
Jeppe Hoff Nielsen, CFO, Fremsyn
+45 23 46 62 67, jhn@fremsyn.com
About Fremsyn
Fremsyn is a Danish renewable energy group primarily engaged in the development, construction, and operation of biogas plants, as well as the commercial sale and trading of biomethane, Guarantees of Origin from renewable gas, biogenic CO₂, and related commodities. Fremsyn delivers sustainable energy solutions that utilises the natural carbon cycle to transform biological waste to clean energy. Read more on: www.fremsyn.com