Neste Corporation says it has signed an agreement with Electrawinds ReFuel B.V.
Neste Corporation (Neste) Tuesday announced it has signed an agreement with Electrawinds ReFuel B.V. to buy a former biodiesel plant in Sluiskil, Netherlands.
The plant will be used for the storage and pre-treatment of renewable raw materials for the company's renewable diesel refineries.
"By acquiring the Sluiskil plant, we enable expanding our raw material base further. Many new raw materials are wastes and residues that are difficult to process, and they require good pre-treatment before renewable diesel or aviation fuel can be produced from them," said Kaisa Hietala, Executive Vice President of Renewable Products at Neste.
Previously, conventional FAME biodiesel was produced at Sluiskil
"The pre-treatment capacity and storage tanks at Sluiskil also contribute to facilitating our future growth."
Neste says it hopes to complete the transaction during the first quarter of 2017, and the purchase price will not be disclosed.
"Previously, conventional FAME biodiesel was produced at Sluiskil. The plant has not been in production since January 2015, and it will enter into pre-treatment and storage use after maintenance work during the second half of 2017," Neste explained.
Neste currently produces two marine fuels with a sulfur content of less than 0.1 percent, and earlier this year said it was developing an "RMG-type" emissions control area (ECA) compliant bunker fuel.