UPM is planning to build a biofuels plant at the Kaukas mill site in Lappeenranta, where UPM's research center is located.. In the first phase the plant will serve mainly as a test and training facility.The main end products of the biofuels plant would be second generation biodiesel, bio gasoline, kerosene and naphtha. Raw materials used would be liquid bio-based organic compounds, like fats oils and forest industry by-products.The facility is planned to be built in stages. In the first phase the plan is to build a 20,000 tons test and training facility, which could also serve small scale industrial production. The environmental impact assessment includes also an assessment of a larger scale commercial size plant with an annual production capacity of maximum 200,000 tons.UPM has previously completed a more extensive environmental impact assessment for a second generation bio refinery in Kuusankoski and Rauma, Finland. A similar assessment for a bio refinery is ongoing in Strasbourg, France.