Neste has made the final investment decision to invest into new renewable products production capacity in Rotterdam, said Hydrocarbonprocessing.
The decision is based on demand for renewable products growing substantially with customers' higher climate ambitions. Neste’s current 1.4 MMt capacity for renewable products in Rotterdam is the largest in Europe. The Rotterdam refinery expansion investment of approximately EUR 1.9 B will expand Neste’s overall renewable product capacity by 1.3 MMtpy, bringing the total renewable product capacity in Rotterdam to 2.7 MMt annually, of which sustainable aviation fuel (SAF) production capability will be 1.2 MMt. The company’s target is to start up the new production unit during the first half of 2026.
“The investment in the expansion of our Rotterdam refinery strengthens our global leading position in renewable products. It also marks an important step in ensuring our future competitiveness and our renewables’ growth strategy execution as it will bring a substantial amount of renewable diesel, SAF and renewable feedstock for polymers and chemicals to our sustainability-focused customers,” says Matti Lehmus, President and CEO of Neste.
“This investment will further strengthen our competitive advantages which are based on the global optimization of our production and waste and residue raw material usage. With our proprietary NEXBTL™ technology, high quality renewable products can be refined flexibly from a wide variety of lower quality waste and residues. The new production line - together with our Singapore expansion - will be best in class in terms of energy efficiency and raw material flexibility,” continues Lehmus.
Neste currently has a renewable products global production capacity of 3.3 MMt annually. Neste’s ongoing Singapore expansion project and the joint venture with Marathon in Martinez, CA, that is still pending for closing, will increase the total production capacity of renewable products to 5.5 MMt by the end of 2023, and make Neste the only global provider of renewable fuels and renewable feedstock for polymers and chemicals with a production footprint on three continents. When completed, the Rotterdam expansion project will further increase the company’s total production capacity of renewable products to 6.8 MMt by the end of 2026.
As per MRC, Neste and United Airlines announced that they have signed a new purchase agreement that provides United the right to buy up to 160,000 mtons (52.5 MM gallons) of Neste MY SAF over the next three years to fuel United flights at Amsterdam Airport Schiphol, and potentially other airports, as well. With this agreement, United became the first U.S. airline to make an international purchase agreement for SAF.
As MRC reported earlier, Neste has a target to process annually over 1 MM tons of waste plastic from 2030 onwards. The company plans to use liquefied plastic waste as a raw material at its fossil oil refinery to upgrade it into high-quality drop-in feedstock for the production of new plastics.
mrchub.com