A biorefinery concept based on alder tree plantations on degenerated or marginalized soils is developed to illustrate how it is possible to comply with indicators of economic feasibility, fossil fuel depletion concerns and long term sustainability issues. The biorefinery is based on grey alder (Alnus incana), and provide the following end products: Heat and power, bio¬pharmaceuticals (diaryl heptanoids), Bio-SNG, ethyl acetate, replenished soils and a carbon sink. Several system setups were examined and compared. The optimal design obtained the following production characteristics: Total system Energy Return on energy Invested 4.4, total system Exergy Return on exergy Invested 3.5, Net Energy Output 78 GJ/ha/year, Net Exergy Output 50 GJ/ha/year, Net carbon sequestration 0.8 ton CO2¬eq/ha/year, Total product value 2030 euro/ha/year and Net Dry Matter Removal 90%. ; SeriesInformation ; Proceedings of the 20th European Biomass Conference and Exhibition, 18-22 June 2012, Milan, Italy, pp. 700-707