UpdateNeste Oil to start up biodiesel plant in Singapore - VIDEO

26 May 2010 11:26  [Source: ICIS news]

(adds details on the technology used at the Singapore plant)

SINGAPORE (ICIS news)--Finland’s Neste Oil is on schedule to bring on stream the world’s biggest renewable diesel plant in Singapore late this year.

The 800,000 tonne/year plant would use the company’s proprietary technology called NExBTL to produce biodiesel without the by-product glycerine, Neste Oil CEO and president Matti Lievonen told ICIS news on Wednesday.

Construction at the plant was 90% complete, with commissioning activities underway.

"We will be running the plant during the fourth quarter of the year," said Jarmo Honkamaa, deputy CEO and executive vice president of renewable fuels of Neste Oil, in a briefing.

"All remaining construction activities will be completed within the next few months as planned," he said.

Lievonen said that the plant would churn out the cleanest renewable diesel fuel available in the market, as production would require minimal amount of gasoline.

 

Half of Neste Oil’s investment in renewable fuels development over the next few years would be directed to Singapore, while it sees the Asia-Pacific region as a key source of feedstocks, Honkamaa said.

The Singapore plant would be mostly using palm oil as well and its derivatives as feedstocks, but NExBTL provides flexibility for the plant on the use of other feedstocks such as animal fat and vegetable oils, Neste Oil said.

The technology was first used at the company’s plant in Porvoo, Finland that came on stream in 2007.

Honkamaa said that all of the biofuel produced at the Singapore plant would be exported primarily to Europe and north America, where demand for renewable fuels were growing.

"The lack of biofuel blending mandates in Asia is hampering demand for such fuels in the region, unlike in Europe or Canada, where such mandates are in place," he said.

With additional reporting by Serena Seng

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By: Nurluqman Suratman



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