thyssenkrupp Uhde has secured a new contract from Nova Sustainable Fuels to carry out an integration and optimization study for a major biomass-to-methanol project planned for Nova Scotia, marking a significant step towards large-scale low-carbon fuel production in Canada.
The study will assess the value of thyssenkrupp Uhde’s integrated process combining gasification and methanol synthesis to produce more than 450,000 metric tons of methanol annually using sustainable woody biomass.
The project will use Uhde’s PRENFLO gasification technology alongside its advanced methanol synthesis process. By deploying both technologies from a single provider, NSF aims to validate the benefits of full system integration while strengthening the project’s future bankability. The study is expected to provide a foundation for upcoming investment decisions.
Nova Sustainable Fuels plans to produce two key low-carbon fuels—sustainable aviation fuel and renewable methanol—to help decarbonize the transportation sector. The facility will rely on an integrated clean-energy system combining more than 1 gigawatt of renewable electricity from planned solar and wind farms with local sustainable biomass and water resources.
Renewable methanol produced at the facility could help reduce emissions from global shipping while also serving as a low-carbon building block for other products such as sustainable aviation fuel and chemicals.
Construction is expected to begin in 2028, once all permits are secured, with the plant targeted to start operations in 2031. The project reached a milestone in December 2025 when it received its first environmental assessment approval.
Nadja Håkansson, CEO of thyssenkrupp Uhde, highlighted the project’s broader significance: “Decarbonizing chemicals and fuels is one of the defining challenges of our time, and it’s one we care deeply about. Sustainable methanol has a vital role to play in creating a cleaner energy and industrial future.
"At thyssenkrupp Uhde, we’re proud to contribute decades of experience and integrated solutions to help turn this vision into reality. Partnering with Nova Sustainable Fuels on this forward-thinking initiative is a meaningful step for us toward a low-carbon future.”
Andrew Parsons of Nova Sustainable Fuels said the partnership adds momentum to the project: “We are thrilled to be working with thyssenkrupp Uhde, whose team brings substantial experience and a proven track record of delivering complex projects. Their involvement strengthens our project and reinforces our confidence in its long-term success. This collaboration is a significant step forward and underscores the momentum we’re building.”
