Repsol Takes Stake in Waste-to-renewable Fuels and Chemicals Firm Enerkem

Repsol has acquired a minority stake in the Canadian company Enerkem, a technological world leader in the production of renewable fuels and chemical products through gasification of non-recyclable waste. This investment allows the Spanish multi-energy company to step up the development of decarbonization projects through the deployment of Enerkem’s technology in its existing industrial facilities and future plants.

Repsol has subscribed $75 million to Enerkem's share capital. It will contribute an additional $95 million through the subscription of convertible notes which could allow Repsol to increase its stake to $170 million. This makes Repsol a strategic shareholder in the company to accelerate the adoption and deployment of Enerkem's technology and to develop new industrial projects in Spain and other locations. Enerkem raised a total of $255 million in its latest funding round, including from new investor Monarch Alternative Capital and existing investor Avenue Capital Group.

The Spanish multi-energy company is already partnering with Enerkem and Agbar to build the Ecoplanta Molecular Solutions waste recovery plant in El Morell (Tarragona), Spain, scheduled to be operational in 2026. Using Enerkem's gasification technology, the plant will have the capacity to process some 400,000 tons of non-recyclable solid waste per year to produce 240,000 tons of methanol that can be used for low-carbon fuels and chemicals and recover 70% of the carbon present in the non-recyclable materials.