October 6, 2010 - A biodiesel plant, owned by the innovation company Orkeyjar in Akureyri, formally opened. Full production of biodiesel will start in the next few weeks.

Mannvit was responsible for all the technical aspects of the project from development to production. Initial testing was conducted at Mannvit's laboratory in Akureyri, where experimental production included the production of fuel for one bus operating in the town of Akureyri. Findings from that test production were utilized in developing the plant.  Additionally, Mannvit  handled the feasibility assessment for the production and appraisal on accessibility of raw materials, which includes used cooking oils and animal fat.  

Storage tanks and distillation machinery were manufactured in Akureyri. Total investment for the project is 45-50 million Icelandic kronur (~$445,000 USD).  

The Orkeyjar plant represents the first real biodiesel production in Iceland.  The goal is to produce 300 tons of biodiesel during the first year. It is estimated that the operation will create 2-3 full-time jobs as well as several part-time positions. Representatives of Orkeyjar are optimistic about increased production in the future.