From the moment Russian gas exports to Germany were first disrupted in June, German firm Kelheim Fibers began casting around for alternative options to keep its engines running.
As a result, the Bavarian-based firm, whose fibres are used in anything from teabags to tampons, will be able to use heating oil instead of gas starting mid-January.
Energy costs account for over 60%-70% of the company's variable expenses, overtaking that of its main raw material, Barker said. Kelheim Fibers, which has so far covered 85% of energy needs with gas, is in talks with stakeholders over hydrogen imports with an expected annual consumption of about 30,000 tonnes, starting from 2025, Barker added.
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