The Netherlands: Renewables Neste to Acquire Bunge’s Refinery Unit for 300 Million Dollars
With the acquisition of Bunge Loders Croklaan's Rotterdam plant, Neste has plans to increase its raw material pre-treatment capacity for the production of renewable products. The move is in line with the company’s global growth strategy for renewables.
Finland – Neste has agreed to acquire Bunge Loders Croklaan's refinery plant located in Rotterdam, the Netherlands for a purchase price of 300 million dollars. The refinery plant is located next to Neste’s existing biorefinery and it consists of a pre-treatment facility, tank farm, jetties and has a pipeline connection to Neste’s site. The closing of the transaction is subject to the fulfilment of customary closing conditions and regulatory approval. The transition will be implemented in phases with the refinery plant’s full pre-treatment capacity available for processing Neste’s feedstock by the end of 2024.
“The acquisition of the refinery plant supports our global growth strategy in renewables. It allows us to accelerate the scaling up of our renewable raw material pre-treatment capacity, which is an important driver for expanding the use of waste and residue feedstocks and increasing our feedstock flexibility. We are committed to increasing the share of waste and residues in our renewables feedstock mix to 100 % by 2025 and to grow our production platform to enable over 20 million tonnes of greenhouse gas reductions for our customers by 2030,” says Neste’s President and CEO Peter Vanacker.
To meet the growing demand of renewable diesel, sustainable aviation fuel and feedstock for chemicals, Neste focuses on building a global feedstock and production platform for renewables. Neste will expand its renewables annual production capacity from 3.2 to 4.5 million tonnes by the first quarter of 2023, of which the Singapore facility expansion will provide 1.3 million tonnes. The now acquired refinery offers further pre-treatment capacity and terminal infrastructure to handle the increasingly complex waste and residue feedstocks, and supports further growth in production capacity beyond 2023.
Neste has been active in the Netherlands since 2011 when the Rotterdam facility for renewable products started its operations. The Rotterdam facility, together with the company’s Singapore refinery, are the world’s biggest and most advanced renewable fuels refineries. Neste’s Sluiskil plant is responsible for the storage and pre-treatment of renewable raw materials, and Neste Demeter B.V. delivers raw materials to the company's renewable products facility.
Earlier in 2020, Neste also acquired a terminal in Rotterdam for storing, refining and blending renewable waste and residue-based raw materials. In 2019, Neste opened a new office in Hoofddorp, in greater Amsterdam which serves as the global hub for the growing Renewable Aviation business. Neste My Renewable Diesel, produced from renewable raw materials is currently available at more than 100 sales points throughout the country.