Neste Invests 190 Million Euros in the Netherlands to Produce Sustainable Aviation Fuel
The renewable products refinery in Rotterdam will be able to produce 500 kilotons of SAF per year
Neste, the world’s leading producer of renewable diesel and sustainable aviation fuel produced from waste and residue raw materials, has announced it will invest in its renewables production capacity in Rotterdam, the Netherlands, to enable production of Sustainable Aviation Fuel (SAF). Currently the refinery produces mainly renewable diesel. The modifications to the refinery, an investment of approximately 190 million Euros, will enable Neste to produce up to 500,000 tons of SAF per year as part of the existing capacity.
Neste expects the project to be completed in the second half of 2023. This extends Neste’s growing footprint in the Netherlands and demonstrates the shared sustainability ambitions of Neste, the Dutch government, and the Port of Rotterdam in particular.
Reducing greenhouse gas emissions
Together with the company’s ongoing Singapore refinery expansion, Neste will have the capacity to produce 1.5 million tons of sustainable aviation fuel annually by the end of 2023. Currently Neste’s annual production capacity for sustainable aviation fuel is 100,000 tons. Neste reports that its sustainable aviation fuel has the potential to reduce greenhouse gas emissions up to 80% compared to fossil jet fuel.
‘This SAF investment in Rotterdam is another important step for Neste in the execution of our growth strategy: to become a global leader in renewable and circular solutions,’ said Peter Vanacker, President and CEO at Neste. ‘We have made a commitment to support our customers to reduce greenhouse gas emissions by at least up to 20 million tons by 2030. And as the aviation industry is likely to resume on a growth trajectory after its recovery from the COVID-19 pandemic, there is a growing need and urgency to act on aviation-related emissions. Here sustainable aviation fuels offer considerable potential’.
More sustainable future for aviation
‘Aviation is at a turning point towards a more sustainable future’, said Thorsten Lange, Executive Vice President Renewable Aviation at Neste. ‘This extension of our SAF production capacity will support the aviation industry’s efforts to reduce its greenhouse gas emissions and the climate impact in the coming years. We are pleased that we will be ready to meet the growing demand of SAF, also driven by the European Union’s climate ambitions which will shortly be translated into a proposal for binding legislation across Europe, not least because of the Netherlands’ leading role in this matter. Using SAF gives an immediate reduction of greenhouse gas emissions. And it is already available today.’
Additionally, as was announced earlier this year, Neste aims at creating readiness for a final investment decision by the Board of Directors for a new world-scale renewable products refinery project in Rotterdam towards the end of 2021 or early 2022.
Neste in the Netherlands
The Netherlands provides Neste with a strong foothold in the Antwerp-Rotterdam-Rhein-Ruhr Area (ARRRA), one of the key industrial regions in Europe and one of the top five chemical clusters in the world. Neste has been active in the Netherlands chemicals industry since 2011 when its brand new Rotterdam refinery for renewable products started operations. The Rotterdam location, together with the company’s Porvoo and Singapore facilities, are the world’s biggest and most advanced renewable diesel refineries.
Source: Neste press release30 April 2021