Neste invests €2.5 billion to transform crude oil refinery into circular solutions hub

After its strategic study launched in September 2022, Neste begins a gradual transformation of its crude oil refinery in Porvoo, Finland into a leading renewable and circular solutions refining hub.

The company expects the long-term capacity potential after the transformation to be about 3 million tons of renewable and circular products, such as renewable diesel, sustainable aviation fuel and both renewable and circular feedstock for the polymers and chemicals industry.

The planned transformation will proceed in phase, which requires multiple separate investment decisions. The total investment is estimated to be approximately EUR 2.5 billion.

Neste’s crude oil refinery in Porvoo, Finland.

Final timeline for the transition will be determined later in line with the actual fuel market demand, legislation development and transformation progress, with a targeted completion in the mid 2030s.

“The demand for fossil fuels is declining in our traditional markets due to the growing share of renewable fuels and electrification. This transformation will be made possible by our decades long refining experience, specific expertise in processing challenging raw materials, and our highly skilled employees,” said Markku Korvenranta, Executive Vice President in Oil Products business unit.

Matti Lehmus, the President and CEO, concluded that the long term transformation of the Porvoo refinery is a key element in the company’s renewable growth strategy, completing its journey to a 100% renewable and circular solutions provider when finalized.