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Finland completes biofuel plant in Singapore

2011-02-08

Neste, a Finnish company, has successfully completed the construction of the world's largest biofuel plant in Singapore, at a total cost of €550 million. It is expected to be fully operational in 2011, at which time it will produce biodiesel using palm oil and animal fats. Neste states that its biodiesel is of excellent quality, performs well even at low temperatures, is suitable for all diesel engines, can be blended with other petrochemical diesels, and can reduce greenhouse gas emissions by 40-80%.

Neste's biofuel plant in Singapore has an annual capacity of 800,000 metric tons and will employ approximately 120 people. Another biofuel plant the company is building in Rotterdam, Netherlands, is expected to be completed in the first half of 2011. The use of palm oil to produce bioenergy remains controversial. Environmentalists oppose it primarily because planting palm trees requires the extensive deforestation of rainforests, which will have a profound impact on the ecosystem. Neste emphasizes that all palm trees it will use in the future will come from environmentally compliant forests.

–Source: Bureau of International Trade

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