Neste - Experts & Thought Leaders

Swedish firm ScanOcean and Finnish oil refining and marketing company Neste Oyi have unveiled a new lower-emission DMA Gasoil for the shipping sector. Lower-emissions DMA The new lower-emissions DMA is produced by adding renewable raw material into the conventional refining process and by using mass-balance the fuel attains high GHG emissions reducing benefits while maintaining the quality and specifications of the fuel to ISO 8217. The fuel is certified according to ISCC Plus. According to the partners, Neste Marine 0.1 Co-processed could reduce greenhouse gas (GHG) emissions by up to 80%, compared to fossil DMA Gasoil. Bunker fuel DMA co-processed with renewable raw materials will be available as bunker fuel DMA co-processed with renewable raw materials will be available as bunker fuel on the Swedish east coast, Neste noted. Neste Marine 0.1 Co-processed DMA will also be available at the Södertälje ex-pipe facility together with DMA 0.1 and DMB 0.1, serving vessels in transit into Lake Mälaren. Sustainable products and services “This is one of many key steps in ScanOceans journey to build a portfolio of sustainable products and services,” commented Jonatan Karlström of ScanOcean. "As we soon enter a new regulatory landscape in European shipping, reducing emissions at low cost will be key and we aim to provide the best solutions for this, and the DMA co-processed with renewable raw materials is an extremely attractive fuel in this respect." Marine fuel strategy Introducing the DMA co-processed with renewable raw materials to the Swedish market" "Introducing the DMA co-processed with renewable raw materials to the Swedish market is a part of our marine fuel strategy," said Sveta Ukkonen, Head of Marine Fuels at Neste.  "We see good growth potential for the Swedish market, and we are very pleased to have ScanOcean as our local partner." Marine 0.1 co-processed marine fuel In 2022, Neste revealed it is working with Danish partner Nordic Marine Oil on a new Neste Marine 0.1 co-processed marine fuel in Scandinavia. The drop-in fuel can be taken into use without any fleet modifications as it has a similar composition to conventional bunker fuels.

Rolls-Royce and Neste have signed a Memorandum of Understanding (MoU) to build a strategic partnership on the implementation of sustainable fuels for diesel engines. Both companies share a common vision - that sustainable fuels will play a key role in reducing greenhouse gas emissions in off-highway applications. The main components of the agreement are: promoting the use of existing internal combustion engines for sustainable fuels; advancing the transition from fossil fuels to sustainable fuels; and knowledge sharing on high-quality renewable diesel (HVO). Sustainable fuels and new mtu technologies This near-term target plays an important role in helping the whole of Rolls-Royce realise its net zero ambitions" Tobias Ostermaier, President – Stationary Power Solutions, within the Rolls-Royce business unit Power Systems, which makes engines under the mtu brand, said “Through our ‘Net Zero at Power Systems’ sustainability programme, we have committed to realigning our mtu product portfolio so that by 2030, sustainable fuels and new mtu technologies will reduce greenhouse gas emissions by 35 percent compared to 2019.” Tobias Ostermaier adds, “This near-term target plays an important role in helping the whole of Rolls-Royce realise its net zero ambitions. Our agreement with Neste, the world’s leading producer of renewable diesel, will help us achieve our goals and those of our customers.” ‘Neste MY Renewable Diesel’ ‘Neste MY Renewable Diesel’ is produced from 100% renewable raw materials. Lars Peter Lindfors, the Senior Vice President - Innovations at Neste, said “With ‘Neste MY Renewable Diesel’ greenhouse gas emissions can be reduced by as much as 75% to 95%, when emissions over the fuel’s life cycle are compared with fossil diesel. Companies can reduce their climate emissions significantly in an instant by just changing the fuel.” Rolls-Royce tests show HVO use reduces CO2 emissions Michael Stipa, the Vice President - Stationary Strategy, Business Development and Product Management for the Power Systems division of Rolls-Royce, said “Since May 2022, Rolls-Royce has approved mtu diesel engines for Power Generation for renewable diesel (also known as HVO) and other EN15940 fuels.” Michael Stipa adds, “The tests we have done show an up to 90% greenhouse gas reduction, up to 80% less particulate emissions and an average of 8% nitrogen oxides reduction. All our tests revealed full performance without modifications to the engines.” Use in a wide range of applications Both Neste and Rolls-Royce are aimed to reach their climate targets" Power Systems is gradually releasing its main mtu engine series for sustainable fuels, such as HVO and e-diesel for use in other applications, such as rail, marine and the construction industry. “Both Neste and Rolls-Royce are aimed to reach their climate targets and to support the customers’ journey towards sustainability. In order to achieve this, cooperation is really the key,” said Mats Hultman, the Head of OEM Partnerships at Neste. Growing availability of renewable diesel and other products Neste currently has a renewable products global production capacity of 3.3 million tons annually. Neste’s ongoing Singapore expansion project and a joint venture with Marathon in Martinez, California, USA that is still pending completion, which will increase the total production capacity of renewable products to 5.5 million tons by the end of 2023. It will make Neste the only global provider of renewable fuels and renewable feedstock for polymers and chemicals with a production footprint on three continents. When completed, the expansion of its Rotterdam refinery will further increase the company’s total production capacity of renewable products to 6.8 million tons by the end of 2026. Rolls-Royce and Neste testing sustainable aviation fuel Rolls-Royce has experience of working with Neste on sustainable fuels in other parts of its business. In November 2021, Rolls-Royce and Neste, alongside - Airbus and German research centre - DLR, conducted a world-first study of the impact of 100% sustainable aviation fuel (SAF) on both engines of a commercial jet. The study marked the first time 100% SAF had been measured simultaneously on both engines of a commercial passenger aircraft – an Airbus A350 aircraft powered by Rolls-Royce Trent XWB engines from its Civil Aerospace division.

Neste and Rolls-Royce have agreed to build a strategic partnership on accelerating the use of renewable diesel as a lower-emission solution for diesel engines. Both parties share a common vision of renewable fuels playing a key role in reducing greenhouse gas emissions in off-highway applications, such as construction and power generation. The key focus in the collaboration will be on promoting the use of more sustainable fuels in applications based on the existing internal combustion engine technology, accelerating the transition from fossil fuels to renewable fuels, and increasing knowledge sharing on renewable diesel and the benefits it provides to its users. Under the mtu brand, Rolls-Royce sells high-speed engines and propulsion systems for ships, power generation, heavy land and rail vehicles, military vehicles, and the oil and gas industry, as well as diesel and gas systems and battery containers for safety-critical applications, continuous power generation, combined heat and power, and microgrids. Net Zero at Power Systems “Through our 'Net Zero at Power Systems' sustainability program, we have committed to realigning our mtu product portfolio so that by 2030, sustainable fuels and new mtu technologies will reduce our greenhouse gas emissions by 35 percent compared to 2019. “This near-term target plays an important role in the Rolls-Royce Group’s Net Zero ambition by 2050 at the latest. Our collaboration with Neste, the world's leading producer of renewable diesel, will help us achieve our goals and those of our customers”, says Tobias Ostermaier, President Stationary Power Solutions from the Rolls-Royce business unit Power Systems. Reduced emission Neste MY Renewable Diesel™ is produced from 100% renewable raw materials “With Neste MY Renewable Diesel the GHG emissions can be reduced by as much as  75-95%* when emissions over the fuel's life cycle are compared with fossil diesel. Companies can reduce their climate emissions significantly in an instant by just changing the fuel,'' says Lars Peter Lindfors, Senior Vice President Innovations at Neste. Neste MY Renewable Diesel™ is produced from 100% renewable raw materials. It is a drop-in fuel, not requiring any modifications to the existing vehicles, energy systems or fuel distribution infrastructures. Mtu engines “Since May 2022, Rolls-Royce has approved mtu engines for power generation for renewable diesel and other fuels meeting the EN15940 standard specifications. The tests we have done show additionally an up to 90% greenhouse gas reduction, up to 80% less particulate emissions and an average of 8% nitrogen oxides reduction.” “All our tests confirmed full performance levels without modifications to the engines”, outlines Michael Stipa, Vice President Stationary Strategy, Business Development and Product Management at Rolls-Royce Power Systems. Rolls-Royce is gradually releasing its main mtu engine series for more sustainable fuels such as renewable diesel, also known as HVO or HVO100, and e-diesel also in other applications such as rail, marine and the construction industry. Climate targets Both Neste and Rolls-Royce are aiming to reach their climate targets “Both Neste and Rolls-Royce are aiming to reach their climate targets and to support the customers on their sustainability journey. Collaboration truly plays a key role when aiming for a significant sustainability impact,” says Mats Hultman, Head of OEM Partnerships at Neste. Renewable diesel Neste’s current production capacity for renewable products globally is at 3.3 million tons annually. Neste’s ongoing production capacity project at its Singapore refinery and the joint venture with Marathon Petroleum in Martinez, CA, will increase the total production capacity of renewable products to 5.5 million tons by the end of 2023, and make Neste the only global provider of renewable fuels and renewable feedstock for polymers and chemicals with a production footprint on three continents. When completed, Neste’s Rotterdam refinery expansion project will further increase the company’s total production capacity of renewable products to 6.8 million tons by the end of 2026.