Neste, Vopak Strike Deal for California Terminal Storage of Renewable Fuels — OPIS

Neste has expanded its capability to supply renewable fuels to customers on the U.S. West Coast by commissioning terminal capacity at Vopak's Los Angeles terminal for storing the Finnish refiners' sustainable aviation fuel and renewable diesel, the companies said Wednesday.

"With a combined capacity of 148,000 cubic meters (39 million gallons), this is a clear example of how storage capacity used for traditional products can be repurposed to store the products of the future like SAF and renewable diesel," Vopak said.

It called the deal a "long-term agreement," but neither company divulged the length.

The terminal is "well-connected to fuel logistics via vessels, barges, trucks and pipelines," according to Neste.

The move will increase the availability of the company's renewable fuels, it said, including SAF at Los Angeles International Airport and renewable diesel "for fueling stations serving road transportation all the way to San Diego."

Neste has been supplying renewable fuels to California since 2016 after the state adopted its Low Carbon Fuel Standard.

"Since the inception of the LCFS program, renewable diesel has displaced over 5.3 billion gallons (approximately 16 million tons) of fossil diesel," it said.

"Today, Neste's renewable diesel is used by many municipalities and businesses in the state, and Neste's SAF is available at all of the major airports in California."

This content was created by Oil Price Information Service, which is operated by Dow Jones & Co. OPIS is run independently from Dow Jones Newswires and The Wall Street Journal.

--Reporting by Michael Schneider, mschneider@opisnet.com; Editing by Jordan

Godwin, jgodwin@opisnet.com

(END) Dow Jones Newswires

September 27, 2023 10:48 ET (14:48 GMT)

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