Wedoany.com Report-Aug. 29, On August 22, 2025, South Korean companies Biofriends, a clean fuel and renewable energy producer, and Cheongmyeong, a K-biogas manufacturer, signed a memorandum of understanding to develop the country’s first commercial-scale biogas-based methanol production facility. This agreement marks a significant step toward producing sustainable fuel using domestically sourced biogas.

The biomethanol will primarily serve as an eco-friendly fuel for South Korea’s methanol-powered vessels, enhancing the competitiveness of its shipbuilding industry, which ranks as the world’s second-largest. Additionally, a portion of the biomethanol will be converted into dimethyl ether (DME), a clean energy source blended with liquefied petroleum gas (LPG). DME emits minimal pollutants, such as sulfur oxides and nitrogen oxides, and significantly reduces carbon dioxide emissions, supporting South Korea’s carbon neutrality goals.

Biofriends’ feasibility study determined the plant’s capacity, targeting an annual production of 60,000 to 80,000 tons of biomethanol using 120,000 Nm³ of biogas generated daily from the digester at the Gunsan plant. The facility will utilize Biofriends’ synthesis gas conversion technology to enhance the value of domestic biogas, converting methane and carbon dioxide into synthesis gas, which is then processed into methanol.

Cho Won-jun, CEO of Biofriends, stated: “The core of this project lies in the Carbon Capture & Utilization process, which converts biogas methane (CH₄) and carbon dioxide together to create synthesis gas, which is then converted into methanol. This is a first in Korea to simultaneously utilize greenhouse gases to produce high-value-added clean fuel, and it is a technology that is competitive in the global market.”

The project aligns with the maritime industry’s push toward net-zero emissions, with biomethanol recognized as a viable solution for reducing emissions of nitrogen oxides, sulfur oxides, and particulate matter compared to traditional fuels. Its ease of handling and storage makes it a practical alternative to fuels like hydrogen or ammonia, supporting compliance with environmental regulations set by the International Maritime Organization.

This collaboration between Biofriends and Cheongmyeong highlights South Korea’s commitment to advancing sustainable energy solutions, strengthening its position in the global clean fuel market, and contributing to environmental goals through innovative fuel production.