Sustainable gas producer Neste introduced that it has raised €700 million (USD$765 million) in a inexperienced bond providing, with proceeds geared toward supporting the growth of its Rotterdam refinery, set to turn into the biggest renewable diesel and sustainable aviation gas (SAF) facility on the earth, in keeping with the corporate.
Finland Neste supplies renewable and round options for sectors together with highway transport, aviation, and polymers and chemical compounds. The corporate’s merchandise embody Neste MY Sustainable Aviation Gasoline, constructed from sustainably sourced renewable waste and residues akin to used cooking oil and animal fats waste, and suitable with present plane engines and airport gas infrastructure, and Neste MY Renewable Diesel, produced from renewable uncooked supplies utilizing a hydrogen therapy course of, that can be utilized as a drop-in alternative to fossil diesel, to considerably cut back GHG emissions.
The corporate’s Rotterdam refinery began producing renewable merchandise in 2011, and has a present capability of 1.4 million tons. Neste is endeavor a €1.9 billion growth of the refinery, geared toward increasing its annual renewable product capability to 2.7 million tons, which would come with 1.2 million tons of sustainable aviation gas, with a goal to start out up the brand new manufacturing unit in 2026. Neste just lately signed a cope with DHL to supply the logistics big with 300,000 tons of unblended SAF per yr by 2030.
Anssi Tammilehto, Interim CFO of Neste, stated:
“The current growth within the renewables market has been difficult, however we’ve got a transparent plan ahead. We’re happy to see sturdy participation from high-quality traders on this new difficulty. The web proceeds from this Inexperienced Bond are anticipated to be steered in the direction of our growth of the Rotterdam refinery, which is predicted to turn into the world’s largest renewable diesel and sustainable aviation gas facility.”
The brand new 5-year inexperienced bond pays a hard and fast coupon of three.75%.
