Odor-Reduced Lignin Will Revolutionize the Market

Lignocity in Bäckhammar is a globally unique testbed and development environment where innovators, startups, and established companies within the forest-based bioeconomy can explore and develop processes and fossil-free products with a focus on lignin. The facility is owned by Sweden’s research institute RISE, which collaborates closely with partners such as the business cluster Paper Province, the accelerator Sting Bioeconomy, and Karlstad University.

Lignin - a Potential Replacement for Fossil-Based Materials

“Here, companies can test their processes for extracting lignin from black liquor on a larger scale than in a lab environment, without taking risks through major investments,” says Robert Gustavsson, Site Manager of the facility just south of Kristinehamn.

”Over time, Lignocity’s core operations have evolved into a unique platform for innovation and development that promotes lignin value chains.”

Lignin is found in the cell walls of plants and acts as a binder that provides strength and stability to wood and other plant materials. It is the second most common organic substance on Earth after cellulose, and about 30 percent of a tree consists of lignin. Lignin is a natural polymer, and with growing environmental and climate challenges, interest in its potential as a replacement for fossil-based materials has increased.

“It exists in vast quantities and has the potential to replace fossil materials in products such as plastics, adhesives, batteries, asphalt, and aviation fuel. However, lignin is still mostly treated as a by-product in the pulp and paper industry, where it is used as biofuel.”

"Highly Important to Develop Sustainable Alternatives"

Lignocity’s vision is to continue developing all the possibilities of lignin together with innovators, companies, and academia, contributing to the global green transition.

“Our goal is to maximize the use of lignin as a smart, sustainable, and economically viable alternative to fossil materials across more product areas.”

“In my spare time, I’m a ‘moonlight farmer,’ and the forest is my greatest passion. I see firsthand how quickly our climate is changing, how seasons are shifting, and how pest infestations are becoming more common. These personal experiences are a strong driving force in my work and reinforce my conviction about the importance of developing sustainable alternatives.”

"Our Clients Can Test Their Processes in a Safe Environment"

RISE’s mission is to support other actors in developing processes and products. Lignocity is characterized by openness and flexibility. The facility welcomes both existing pulp producers who want to explore new uses for their lignin beyond combustion, as well as startups and other companies that see the potential in using or replacing fossil materials in their products with lignin.

“We are the only facility in the world with the capacity and capability to produce customized lignin qualities on a large scale. Here, our clients can test their processes with experienced operators in a safe and scalable environment, minimizing risk when they take the next step and invest locally.”

Värmland - a Hub for Actors in the Forest-Based Bioeconomy

“Here in Bäckhammar, the necessary infrastructure and favorable conditions were already in place. Another key factor in establishing Lignocity here is the region’s strong industrial tradition and access to expertise and knowledge. We benefit greatly from local networks, our interaction with our closest neighbor Nordic Paper, and collaborations with academic institutions.”

In 2025, Lignocity has taken another crucial step by investing in and implementing odor reduction for lignin at the facility. The process also required the installation of a new lignin dryer that reduces the moisture content to around five percent.

“The development of lignin’s potential has been hindered by its unpleasant smell. Now, we are the first facility in the world with the capacity to produce odor-reduced lignin at ton scale. This is a very important milestone and opens entirely new possibilities for lignin as a material, potentially revolutionizing the market.”

About Lignocity

Lignocity is an open testbed and development environment offering companies and innovators the opportunity to develop and scale up technologies and processes to use lignin for fossil-free, sustainable materials and products. The operation is run by Sweden’s research institute RISE.

Employees: 5
Revenue: Approximately SEK 10–12 million
Location in Värmland: Bäckhammar
Website: lignocity.se