Finland: On April 28^th, Neste Corp. unveiled its first-quarter financial results, reporting that the company's renewable products segment experienced a surge in demand for renewable Diesel and benefited from favourable feedstock pricing over the three-month span. The renewable products segment achieved a strong comparable EBITDA of EUR 415 million, compared to EUR 419 million during the same period last year.

Furthermore, the segment achieved an all-time high comparable sales margin of $945 per ton, up from $783 per ton in the first quarter of 2022, thanks to the robust demand for renewable Diesel and favourable feedstock pricing. This success was aided by the company's flexibility in utilizing their global optimization model and seizing feedstock market opportunities.

In Q1, the sales volumes of renewable Diesel and sustainable aviation fuel decreased to 660,000 tons following a fire outbreak at the Rotterdam refinery in December 2022. Out of the total sales, about 65 percent were made in the European market, with the remaining 35 percent being sold in North American markets. This is a drop from last year's figures of 68 percent and 32 percent, respectively.

During the first quarter of 2023, Neste's renewable Diesel production plants maintained an average utilization rate of 93 percent. This is lower than the 104 percent recorded during the same period last year. However, the proportion of waste and residue inputs used increased slightly from 95 percent in Q1 2022 to 96 percent this year.

Neste foresees a significant rise in renewable Diesel and SAF sales volumes during the second quarter of 2023 compared to the first, with an estimated increase of 30 to 50 percent. However, this is subject to the pace of capacity expansion in Singapore and Neste's joint venture with Marathon in Martinez, California. According to Neste, the Martinez project-initiated startup activities in February, whereas the expanded Singapore facility started production in mid-April. By the end of this year, the amalgamated projects are predicted to increase Neste's renewable products capacity to 5.5 million tons.

Additionally, Neste is expanding SAF production capacities in Rotterdam and Singapore, aiming to produce up to 1.5 million metric tons of SAF in 2024. By the end of 2026, it is anticipated that the Rotterdam expansion initiative will increase the nameplate capacity of renewable products to 6.8 million metric tons, while providing an option for SAF at 2.2 million metric tons.