ORAFOL convert to LNG to secure production and energy efficiency

ORAFOL are modifying their main production site in Oranienburg to run on liquefied natural gas (LNG). This conversion process, which will safeguard the company’s production processes, will be carried out in two phases. An energy efficiency programme to unlock potential energy savings is to be implemented immediately.

The international ORAFOL Group is expanding its ongoing investment programme and converting its main production site in Oranienburg to run on liquefied natural gas. 

An uninterrupted supply of energy is a must. 

The company, which employs 1,100 staff, produces high-performance self-adhesive film for industry and trade at its headquarters in Oranienburg. The company’s products are used, among other things, on traffic signs, in traffic safety systems, in workplace health and safety and by the graphics industry all over the world. Adhesive tape systems, developed and produced by ORAFOL in Oranienburg, are replacing conventional mounting options. The competitive production of these and other ORAFOL products, mainly developed for long-term usage, requires a continuous and uninterrupted supply of energy to the production site, currently supplied as natural gas.

Expanding our ongoing investment programme

By 2024, ORAFOL will have invested 160 million euros into expanding production at its headquarters in Oranienburg, Brandenburg. The bulk of this investment will go into constructing two new production halls, equipping the halls with plant technologies, and linking these technologies up to a digital production planning system. The programme is now being expanded to include a central project to safeguard production: 

In addition to the current primary source of energy, natural gas, the company intends to create the possibility of switching to liquefied natural gas (LNG) should it need to ensure that production operations continue to run without interruption.

In-depth analysis for safeguarding production in the event of gas shortages

ORAFOL has responded to Germany's current gas supply situation by conducting an in-depth analysis of its business processes. On 23 June 2022, the Federal Ministry for Economic Affairs and Climate Action (BMWK) raised the crisis level to “alert level” in Germany. This followed the “early warning” crisis level, which was declared almost earlier on 30 March 2022. The Federal Network Agency continues to guarantee the security of supply in Germany at present. But the situation is tense, and further deterioration of the situation cannot be ruled out.

ORAFOL’s “Energy” working group has introduced the necessary steps for converting all process equipment that runs on natural gas to liquefied gas. Upon completion of these expansion projects, ORAFOL will be able to manufacture its products regardless of any future disruptions to the supply of natural gas.

“ORAFOL’s continuous investment in performance development has been driven by well-considered and sustainable business practices from the outset.  And we have only been able to expand our ongoing investment programme to this extent thanks to this disciplined approach. Expanding our production processes on the technical level to run on liquefied natural gas means that we do not have to rely on any potential Tradeable Energy Quotas,” says Dr Holger Loclair, Chairman & CEO of the ORAFOL Group.

Converting to LNG in two phases 

The plans for converting the site will be split into two phases. The first phase involves procuring a temporary supply of liquefied gas containers. The second phase involves constructing a single liquefied gas storage tank with a capacity of 180 tonnes, with additional expansion capacities also possible. Construction work will start this quarter with the installation of foundations. The investment for the entire project amounts to 3 million euros in total. These investments are expected to be in place by the second quarter of 2023.

Implementing an energy efficiency programme as a vehicle for identifying energy-saving potentials

ORAFOL has also been able to introduce further energy-saving potentials to its business processes, which has reduced the amount of natural gas consumed during the production process with immediate effect and has also increased its levels of energy efficiency. The investment volume for this amounts to an additional 1 million euros approximately. The energy-saving measures that have come out of this are of the highest priority across all business areas and are subject to regular monitoring.