VITAGRO Energy plans to build three biomethane plants in western Ukraine, turning agricultural waste into a new export-oriented energy business. The facilities are planned in Nahirjanka in Ternopil region, Ripna in Khmelnytskyi region and Zoria in Rivne region.
The combined planned capacity is about 3 million cubic meters of biomethane per year. Alongside fuel production, the technological cycle is expected to generate 66 thousand tonnes of organic fertilizers annually and about 0.4 MW of electricity for the plants’ own needs.
Investment structure
The overall investment project is estimated at 35.9 million dollars. VITAGRO is ready to invest part of the funding from its own resources, while the remaining capital is expected to come through equity and project finance instruments.
The plants will use livestock waste from the company’s own farms and additional biomass sources. This makes the project not only an energy initiative, but also an agricultural circular-economy model: waste from livestock production becomes fuel, fertilizer and local energy.
Why the EU market matters
The key sales market for the biomethane is expected to be the European Union. For Ukrainian producers, EU demand is important because biomethane can become a premium product linked to decarbonization, energy security and the replacement of fossil fuel imports.
VITAGRO has already completed the land lease stage, while the project is now at the feasibility study stage. Construction of each separate facility is expected to take around two years. According to preliminary company calculations, each plant could generate 3.7 to 5 million dollars in annual revenue after reaching full capacity, with expected EBITDA of 1.8 to 2.5 million dollars per year.
Sector context
The project fits a broader trend in Ukrainian bioenergy. Other companies have also announced biomethane projects in Ternopil and Vinnytsia regions. The government’s biomethane development program through 2035 targets a major increase in production and a stronger contribution to energy independence.
For investors, the important point is that biomethane links three themes at once: agriculture, energy resilience and exports to regulated European markets. If projects reach industrial scale, Ukraine can turn part of its agricultural base into a renewable gas platform for the region.
