Shell acquires major biogas project in Denmark

As the European energy market is diversifying fast towards renewable energy, Shell Biogas has acquired the Hashøj Biogas facility in West Zealand from HCS A/S.

Shell was formerly known as Nature Energy and the acquisition has brought an end to more than three decades of operations at the site. With the sale, the existing plant will be decommissioned to make way for the construction of a new biogas facility.

As one of Denmark’s oldest and most efficient biogas plants, Hashøj Biogas has long played a role in advancing the country’s renewable energy efforts. HCS, among Denmark’s largest transport, waste, and environmental service providers, acquired the facility in 2019 and has managed its operations since. The company employs about 500 people across its domestic and international divisions.

The transaction required careful handling of multiple legal and operational elements, including project development, expansion planning, mergers and acquisitions processes, supplier relations, and coordination with public authorities.

Shell: Emerging Bioenergy Player

Today, Shell owns and operates 14 large-scale biogas plants in Europe following the acquisition of Denmark-based Nature Energy in 2023, one of the largest producers of biogas in Europe. Thirteen of these biogas plants are in Denmark and the other co-owned facility is in France. Shell also has a substantial renewable natural gas business in North America and a large interest in a biogas plant in Brazil through its Raízen joint venture.

In 2024, the energy giant opened a bio-LNG (liquefied biomethane) production plant in Germany, producing enough fuel to help reduce carbon emissions from approximately 5,000 trucks each year.

Last month in September, Shell Western LNG B.V. agreed to supply liquefied biomethane to Hapag-Lloyd to accelerate the decarbonization of alternative marine fuels. Hapag-Lloyd aims to achieve net-zero fleet operations by 2045 by enabling emissions reductions across its fleet and supporting customers in their efforts to decarbonize their supply chains.