2025 was a defining year for Warmeston. Our Sauga and Purila factories achieved record production volumes, contributing to the highest overall output in the group’s history. At the same time, we successfully rebuilt our Järvere factory, which is now fully focused on the production of high-quality premium pellets, strengthening our position in higher value market segments. We also took important steps to improve operational efficiency. In Latvia, we merged the operations of the Brocēni pellet plant and CHP facility, creating a more integrated and efficient production system. Across the group, we continued to streamline processes and strengthen our operational foundation.
In an increasingly uncertain global environment, we remained focused on operational excellence. We continued to enable the local use of renewable biofuels and to supply European CHP plants, supporting efficient energy generation at a time when it is needed more than ever. In doing so, we contribute to Europe’s energy security by utilising local energy sources and reducing dependence on imported fossil fuels. Our commitment to sustainability was further recognised externally. Warmeston was named Sustainability Champion at the Argus Biomass Awards, highlighting our consistent efforts in responsible biomass production. In Estonia, we were also selected among the top five companies in the “Industry Digitaliser” category at the 2025 Estonian Business Awards, reflecting our focus on digital development and process optimisation.
Environmental performance remained a key priority. In 2025, total pellet emissions decreased to 7.9 gCO₂e/MJ, down from 8.6 the previous year, reflecting improvements in energy use, process efficiency, and emission management. Beyond operations, we continued to invest in our people, safety, and organisational capability, while maintaining strong cooperation with our partners and stakeholders. Looking ahead, demand for secure and sustainable energy remains strong. Warmeston is well positioned to respond—through efficient production, responsible sourcing, and continued investment in renewable integration and digitalisation.
In 2024, Warmeston experienced significant growth by integrating the Brocēni factory and cogeneration plant and launching wood chips exports. Pellet production reached 518,451 tons, while the carbon footprint per megajoule decreased by 6% compared to the previous year.
All pellet ash was recycled into fertilizer, and more than 216,800 trees were planted. The company continued investing in renewable energy projects, including solar energy and energy storage solutions. Warmeston also contributed to local communities, supported Ukrainian soldiers, and enhanced employee well-being and workplace safety. The company’s revenue grew by 14.7%, reaching €103.9 million. Warmeston remains firmly committed to sustainable development and responsible energy production.
With the launch of our fourth Sustainability Report, we reaffirm our commitment to transparency, accountability, and continuous improvement. In 2023, our firm belief in the future of biofuels was further demonstrated by the acquisition of our fifth pellet factory, a CHP plant and a multinational chip wood company adding 83 new members to our dedicated team. Commitment to operational efficiency remained unwavering, driving digital innovations across various business areas, and enhancing transparency, accuracy, and automatization in our operations.
Compared to 2020, the absolute emissions from pellet production have decreased roughly by 4% in 2023, while a 13% increase in emission intensity per MJ is visible from the year 2022. This is mainly attributable to the increase in Estonian´s grid electricity emissions, as well as the changes in our feedstock profile and production output.
To mitigate such third-party risks as above, we took a significant step towards renewable energy integration in 2023 by completing solar power plants next to two of our pellet plants.
This enables us to harness 3 MW of solar power in our production processes, further reducing our environmental footprint and enhancing our energy independence. With the installation of these solar power units, ¾ of our Estonian pellet plants now have independent solar electricity production units installed, marking a significant achievement in our quest for Sustainability and renewable energy integration.
In 2023, Warmeston celebrated its 20th year of operation, marking two decades of dedication to sustainability and excellence. Additionally, our subsidiary, Ardor, commemorated its 10th year, highlighting a decade of commitment to innovation and progress in the industry. These milestones underscore our commitment to sustainability and our ongoing efforts to make a positive impact on the environment and society.
I am confident that with the continued support and collaboration of our employees, partners, customers, and stakeholders, we will overcome obstacles and achieve our shared sustainability goals. Thank you for your unwavering dedication and partnership on this journey toward a brighter, more sustainable future.
Sustainability and environmentally friendly principles are the key foundation of renewable bioenergy. For years Warmeston OÜ has been certified to strict third-party sustainability standards, which provide a verifiable and transparent framework for evaluating our performance. Our sustainability report complements these certification systems by summarizing monitoring data, explaining the background, and giving a good overview of the companies belonging to the Warmeston Group and our role in the Estonian forest and wood industry and in achieving the EU's climate goals.