ORLEN and Krajowa Grupa Spożywcza (KGS), Poland’s largest state-owned agri-food group, have entered into a memorandum of understanding to develop a nationwide biomethane portfolio. Under the new agreement, the parties will, inter alia, construct biomethane production facilities. The project is expected to curb CO2 emissions, strengthen Poland’s energy security and independence, and enhance overall grid stability.

The memorandum between ORLEN and KGS provides for joint optimisation of in-house resources – including agricultural and post-production waste – and for securing farmland on which to apply digestate, the nutrient-rich by product of agricultural biogas plants, as fertiliser.

The partners also plan to jointly scale biomethane production. The initial step will be to identify sites that meet the technical and commercial criteria for biomethane facilities – starting with plots owned by KGS, while keeping other suitable locations under review. ORLEN and KGS will likewise cooperate on the production and distribution of biomethane, including the securing of all requisite administrative consents and certificates of origin for the fuel.

“Biomethane production is a textbook circular-economy solution: it converts waste into fuel and generates measurable value for both local communities and the wider national economy. As a low-carbon substitute for natural gas, biomethane is integral to the energy-transition agenda – particularly the decarbonisation of transport. Our partnership with Krajowa Grupa Spożywcza, a company central to Poland’s food security framework, therefore marks a further material milestone in delivering the ORLEN Group’s strategic objectives,” commented Grzegorz Bujnowski, Executive Director for Gas Trading, ORLEN.

“Investing in biogas and biomethane is a logical extension of our innovation and sustainability-led growth strategy. Our logistics platform and reliable feedstock streams allow us to convert post-production residues into clean energy. Partnering with ORLEN accelerates the green transition across the entire agri-food value chain. By pooling our competencies, we bolster energy security, cut our carbon footprint and create new jobs supporting the development of local communities,” said Olga Adamkiewicz, Member of the Management Board, Krajowa Grupa Spożywcza.