NEXT Infrastructure Fund commissions SYNCRAFT as technology partner for Zwickau biocoal plant

The biocoal plant is being realised by the NEXT Infrastructure Fund of NEXT II S.C.A. SICAV. Last year, NEXT had already announced the investment in the infrastructure project worth around 29 million euros. Now the next important development step follows with the integration of SYNCRAFT.

SYNCRAFT is the leading supplier of reverse power plants. The technology uses a thermochemical process in which materials are heated to up to 850 degrees Celsius in the absence of oxygen and are not burned but broken down at the molecular level. In this way, regionally available woody biomass simultaneously produces renewable heat, electricity and green carbon, also known as biochar or biochar. , also known as "biochar". This biochar can permanently bind CO₂ and be used in a wide variety of industrial applications or in agriculture. In this way, the project not only contributes to the supply of renewable energy, but also supports long-term decarbonization.

"The project in Zwickau is an example of how modern wood energy systems can make a significant contribution to a secure, regional and climate-friendly energy supply. We are pleased to be implementing this project together with NEXT and to contributing our many years of experience to its implementation," says Marcel Huber, Managing Director of SYNCRAFT.

Parallel to the selection of the technology partner, NEXT has initiated further central project steps. With the granting of the BimSch permit, which includes the building permit, a central milestone has been reached for the further course of the project. At the same time, detailed technical planning has begun.

"With SYNCRAFT, we are gaining an experienced partner with a technology that has proven itself worldwide. In this way, we are now creating the conditions for the project to be implemented. For us, the project is an example of how institutional capital enables economically viable infrastructure projects that also make a measurable contribution to the energy and heat transition," says Hannes Ressel, Managing Director of NEXT Generation Invest.

The heat generated by the wood energy plant is used by a municipal company of the city of Zwickau, while the green electricity produced is fed into the public power grid. At the same time, the use of locally available residual wood strengthens regional value creation and reduces dependence on fossil fuels and energy imports.

The project combines several stable sources of income: In addition to heat supply and electricity production, revenues from the use of biochar and CO₂ storage will also open up additional economic potential in the future. This will create a resilient, decentralized infrastructure investment with long-term cash flows that can be planned in the long term, benefiting from the growing demand for renewable heat and the political framework for decarbonization.