Neste Corp. launched third quarter monetary outcomes on Oct. 26, reporting a 40 p.c improve in comparable EBITDA for its Renewable Merchandise phase. Margins and gross sales volumes for renewable diesel and sustainable aviation gasoline (SAF) have been additionally up.
Neste’s Renewable Merchandise phase reported comparable EBITDA of EUR 545 million, up from EUR 389 million in the course of the third quarter of final 12 months. The comparable gross sales margin for renewable merchandise was $912 per ton, up from $732 per ton, supported by robust diesel costs, success international optimization throughout feedstocks, market and merchandise, in accordance with Neste President and CEO Matti Lehmus.
The corporate offered 860,000 tons of renewable diesel and SAF in the course of the quarter, up from 698,000 tons in the course of the third quarter of 2022. The rise in gross sales quantity was achieved regardless of delayed ramp-up on the firm’s Singapore biorefinery. The Singapore facility restarted in August following completion of its enlargement venture. Ramp-up, nonetheless, was delayed by a shutdown for extra gear and restore works, Lehmus stated. Manufacturing on the new line is predicted to restart in the course of the first half of November, he added.
Building actions are additionally progressing that the Martinez Renewables facility within the U.S., which is being developed below a three way partnership between Neste and Marathon Petroleum Corp. “Pretreatment capabilities are growing by the second half of 2023, and the ability is predicted to have a nameplate capability of 730 million gallons per 12 months by the tip of 2023,” Lehmus stated.
Neste at present expects fourth quarter gross sales volumes of renewable diesel and SAF to be down considerably when in comparison with the third quarter. The corporate attributed the anticipated decrease gross sales volumes to deliberate upkeep shutdowns on the Martinez facility and the corporate’s Rotterdam biorefinery. The brand new manufacturing line on the Singapore facility is predicted to achieve roughly 75 p.c capability utilization by the tip of the 12 months and start to contribute to SAF gross sales volumes in 2024.
Total, Neste reported third quarter comparable EBITDA of EUR 1.047 billion, up from EUR 979 million throughout the identical interval of final 12 months. EBITDA was EUR 889 million, up from EUR 456 million.
A full copy of Neste’s third quarter 2023 report is on the market on the corporate’s web site.
