Neste Oil Corporation
Stock Exchange Release
13 June 2008 at 9.00 am (EET)
Neste Oil is to build an 800,000 t/a plant to produce NExBTL renewable diesel in Rotterdam in the Netherlands. Construction will start immediately and the facility is scheduled to be completed in 2011. Total cost of the investment is projected to be €670 million. Neste Oil announced its decision to go ahead with a similar-sized plant in Singapore in November 2007. Both plants are linked to Neste Oil’s goal of becoming the world’s leading producer of renewable diesel fuel.
NExBTL renewable diesel is based on Neste Oil’s proprietary technology, which can use a wide range of raw materials. In its plant in Finland, the company currently uses a mix of palm oil, rapeseed oil, and animal fat to produce renewable diesel. Offering excellent product quality - even better than fossil diesel - NExBTL can be used in all diesel engines.
Neste Oil has a major R&D program under way to develop new renewable raw materials for fuel production, and is working towards a target of completely non-food raw material use by 2020. Neste Oil is cooperating with over 20 universities and research institutions globally as part of this program, which is divided into six areas, including non-food vegetable oil, wood-based materials, and algae.
NExBTL has excellent environmental properties. It offers 40-60% lower greenhouse gas emissions over its entire lifecycle compared to conventional fossil diesel. NExBTL also reduces tailpipe emissions and contributes to better air quality.
The plant is to be built in the Maasvlakten area in the western part of the Port of Rotterdam. Its location close to other chemicals plants will offer a number of synergy opportunities with other facilities. Nearby plants will supply Neste Oil with utilities.
“Rotterdam is Europe’s largest center of petroleum products and chemicals production, and offers a wide range of dedicated services, as well as port facilities – all of which makes Rotterdam an ideal location for a NExBTL plant,” according to Neste Oil’s President & CEO Risto Rinne.
The plant will employ around 100 permanent employees when completed.
Working with the same partners
Neste Oil will work with the same key partners in Rotterdam that it selected for its project in Singapore. Technip Italy will act as the project’s main contractor and Air Liquide will supply the hydrogen required by the process.
Neste Oil Corporation
Senior Vice President, Corporate Communications
Mr. Jarmo Honkamaa, Deputy CEO and Executive Vice President, Renewable Fuels, tel. +358 (0) 50 458 4758
Mr. Simo Honkanen, Vice President, Renewable Fuels, tel. +358 (0) 50 458 4170
A press conference in Finnish will be held today, 13 June 2008, at 11:00 am EET at Neste Oil headquarters, Keilaranta 21, Espoo.
Mr. Simo Honkanen’s video statement will be available at the Newsmarket media service at http://br.thenewsmarket.com/nesteoil/br/Login/LoginPreRegistration.aspx
Neste Oil in brief
Neste Oil Corporation is a refining and marketing company concentrating on low-emission, high-quality traffic fuels. The company’s strategy is based on growing both its oil refining and premium-quality renewable diesel businesses. Neste Oil’s refineries are located in Porvoo and Naantali and have a combined crude oil refining capacity of approx. 260,000 barrels a day. The company had net sales of €12,103 million in 2007 and employs around 5,100 people; and is listed on the Nordic Stock Exchange in Helsinki. www.nesteoil.com.
NExBTL in brief
NExBTL renewable diesel is an advanced fuel based on renewable raw materials that performs more efficiently and has a lower level of environmental impact than fossil diesel or FAME-type biodiesel. Neste Oil requires its raw material suppliers to observe a responsible approach to sustainability. Feedstock of this type ensures that NExBTL renewable diesel has a 40-60% lower level of greenhouse gas emissions over its entire lifecycle compared to fossil diesel. NExBTL renewable diesel can be blended with conventional diesel fuel or used as such, and is suitable for all diesel engines.
Neste Oil is the leader in renewable diesel production. The company’s first NExBTL facility was commissioned in Finland at Neste Oil’s Porvoo refinery in summer 2007. Second facility is due to come on stream there in 2009. They both have a capacity of 170 000 t/a. In addition Neste Oil is building 800 000 t/a plants in Singapore and Rotterdam. Singapore facility is due to be completed by the end of 2010 and Rotterdam facility in 2011.