European Energy’s Kassø Power-To-X Plant Converts E-Methanol Into Gasoline, Demonstrating A Major Step Toward Low-Carbon Fuel Production

E-methanol produced at the Kassø Power-to-X facility in Denmark has successfully been converted into gasoline, proving that renewable methanol can serve as an effective feedstock for conventional fuels and help significantly reduce greenhouse gas emissions.The Kassø plant, located in Aabenraa, is owned by Solar Park Kassø, a joint venture between European Energy A/S and Mitsui & Co., Ltd..

It is among the earliest commercial-scale Power-to-X facilities in the world. The facility produces RFNBO-certified e-methanol by combining green hydrogen—generated from renewable electricity and water—with captured biogenic CO₂.With an annual output of around 42,000 tonnes, the Kassø facility supplies e-methanol to a wide range of industrial sectors, including shipping, chemicals, and fuel production.

Its role extends beyond being a clean fuel source; it also acts as a strategic intermediate for various advanced fuel pathways.As part of the DeCarTrans research project, 86 tonnes of e-methanol from Kassø were processed at the large-scale pilot plant operated by TU Bergakademie Freiberg (TUBAF). Using the CAC METHAFUEL® process, developed jointly by CAC ENGINEERING GmbH and TUBAF, the methanol was converted into synthetic gasoline.

The resulting product was later upgraded into multiple gasoline grades—RON95 E10, RON98 E10, and RON102—by the Lother Group (NORDOEL) and the eFUEL GROUP.This conversion shows that renewable methanol produced from renewable electricity, water, and captured biogenic CO₂ can be refined into drop-in fuels that meet RFNBO standards.

These fuels are compatible with existing engines, pipelines, and fuel infrastructure, eliminating the need for technical modifications and enabling faster adoption of renewable fuels.René Alcaraz Frederiksen, EVP and Head of Power-to-X at European Energy, stated that e-methanol acts as a flexible intermediate for several fuel production pathways.

According to him, the Kassø facility’s output can be used to produce fuels that fit seamlessly into today’s fuel systems. Hanspeter Tiede, CFO of Lother GmbH, added that e-methanol forms an important industrial link between renewable power generation and liquid fuels ready for market use. He emphasized that the gasoline produced can be used immediately as a drop-in fuel with existing infrastructure and current vehicles.

Prof. Martin Gräbner of TUBAF highlighted that the use of Danish e-methanol not only enables a 90 percent CO₂ reduction compared to conventional fuels but also increases the productivity of their large-scale pilot plant.The success of converting e-methanol into gasoline demonstrates strong potential for scaling renewable fuel production, especially in transport sectors where direct electrification remains challenging.

As European regulations continue to evolve—particularly in Germany, where new policies support quotas and incentives for renewable fuels—the demand for RFNBO-compliant fuels is expected to rise.E-methanol can also be used as an intermediate for producing e-SAF, supporting the development of renewable aviation fuels and contributing to decarbonization across multiple transport segments.