The Biodynamic Research Institute in Järna developed at the farm Yttereneby a two phase biogas plant. The plant digests manure of dairy cattle and organic residues originating from the farm and the surrounding food processing units containing 17,7 - 19,6 % dry matter. A new technology for continuously filling and discharging the biogas reactor was developed and implemented. Digestion residues are separated into a solid fraction for composting and into a liquid fraction. The solid fraction is suitable for aerobic composting. Initial results show that anaerobic digestion and following aerobic composting of the solid fraction improves the nitrogen balance of the farm compared to mere aerobic composting. Composted biogas plant residues and effluent together contain 70,8 % of input Ntot and 93,3 % of input NH4, merely aerobic digested manure 51,3 % Ntot and 3,9 % NH4 only. Additionally anaerobic digestion improves the energy balance of the farm producing up to 269 l biogas kg-1 VS or 1,7 kWh heat kg-1 VS