Video: Kalundborg refinery - A Transition Story

A market-centric transition 
Kalundborg Refinery is keeping their markets front and center as they transition their operations from fossil fuels to renewable energy sources. While they actively pursue ways to minimize their carbon footprint, they allow market opportunities to shape their strategic direction and guide the pace of their transition.

Learn Kalundborg Refinery's full transition story from Niels Bech, Director of Business Development, at Kalundborg Refinery. The video was recorded during our Topsoe seminar 'Refineries of Tomorrow,' which took place in Copenhagen earlier this year. The interview is conducted by Mikala Grubb, Senior Director, Commercial Excellence and Marketing. 

While many people will agree that the future of refineries is filled with change and uncertainty, Niels firmly believes that refineries will have a significant role to play in the transition to future energy source:

“Refineries are not places where we are bound to convert fossil crude, and when we no longer use fossil crude, we’ll shut down. Rather, I believe refineries are chemical factories where we from a technical point of view will be doing pretty much the same in the future. When we look into the great Power-to-X revolution, it’s more or less the same,” said Niels Bech

A market-focused transition approach

Kalundborg Refinery is actively preparing to transition their operations towards more sustainable ones, focusing on lowering emissions and producing the fuels necessary for a net-zero. However, they're allowing market opportunities to dictate their pace, instead of specific targets. While they are committed to supporting the energy transition in any way, they can, they are cautious not to outpace the market.

For instance, the aviation market and its growing interest in the adoption of sustainable aviation fuel (SAF), presents a promising market opportunity. Therefore, Kalundborg Refinery supports introduction of a low-aromatic conventional jet-fuel that will help lower non-CO2 effects of aviation, which account for two thirds of the climate impact associated with flying.

Kalundborg Refinery's current key initiatives

In the long run, the current conventional processes of Kalundborg Refinery will likely continue operation until the necessary conditions for large-scale Power-to-X production are established (Power-to-X refers to a range of technologies that convert electricity, particularly from renewable sources, into other forms of energy or products). These conditions include the availability of mega-scale renewable electricity production, an intermediate hydrogen storage system and a system for obtaining and utilizing renewable CO₂.

Until that time arrives, the refinery is directing its efforts towards more readily achievable goals, such as reducing their own carbon emissions. Kalundborg Refinery has for many years prioritized emission reduction within their own processes as part of their ongoing energy optimization efforts. Among their initiatives are an implementation of various technologies, including advancements in heat exchangers, catalysts, and digitalization.

In addition, they’re exploring the implementation of carbon capture and storage (CCS) technology to capture the CO2 emissions generated at their refinery. They aim to have CCS partially installed by 2030.

About Kalundborg Refinery
Kalundborg Refinery is an energy company and the largest oil refinery in Denmark, processing up to 5.5 million tons of crude oil, condensate, and feedstock per year. The refinery produces LPG, naphtha, gasoline, diesel, fuel oil and fertilizer. They employ over 400 people. The refinery has since 2022 been part of The Klesch Group who owns one other refinery in Heide, Germany.

Learn more by visiting Kalundborg Refinery

This is one of three Transition Stories in which we talk to European refineries about their transition into a sustainable future you'll find the first one on Cepsa here.