Borealis and Neste begin strategic co-operation to accelerate circularity and bioeconomy in plastics
Neste Corporation, Press Release, 16 October 2019 at 5:00 p.m. (EET)
Borealis and Neste begin strategic co-operation to accelerate circularity and bioeconomy in plastics. Borealis to produce renewable polypropylene using Neste’s renewable propane by end of 2019.
Borealis to produce renewable polypropylene using Neste’s renewable propane by the end of 2019
Borealis, a leading provider of innovative polyolefin solutions; and Neste, the world’s leading provider of renewable diesel, renewable jet fuel, and an expert in delivering drop-in renewable chemical solutions, are entering into strategic co-operation for the production of renewable polypropylene (PP). The co-operation will enable Borealis to start using Neste’s 100% renewable propane produced with Neste’s proprietary NEXBTL™ technology as renewable feedstock at its facilities in Kallo and Beringen, Belgium, starting end of 2019.
Borealis and Neste: a new milestone in sustainable polypropylene
As an industry frontrunner in sustainability, Neste offers bio-based alternatives to conventional fossil-based feedstock to be used in the production of polymers and chemicals. Neste has an annual production capacity of 3 million tonnes of renewable products. Thanks to its proprietary NEXBTL technology, it can utilize nearly any bio-based oil or fat as raw material, including lower-quality waste and residue oils to produce various premium-quality renewable products. Borealis will use Neste’s renewable propane, produced in Rotterdam, at its facilities in Belgium to create an entire portfolio of applications based on renewable PP. This marks the first time that Borealis uses bio-based feedstock to partially replace fossil feedstock in commercial production of PP. It will also be the first time ever that renewable propane dehydrogenation is carried out at an industrial scale. The high-quality product will offer the same excellent product properties as conventional PP, and is fully recyclable.
Borealis’ unique propane dehydrogenation (PDH) and PP plant set-up in Kallo will enable the company to start offering bio-based propylene and consequently bio-based-PP in which bio-based content can be physically verified and measured. In addition, Borealis will continue to apply mass balance approach in its production at Kallo and Beringen to take a major step forward to provide both renewable propylene and renewable polypropylene to its customers. The process will be certified by the ISCC Plus (International Sustainability & Carbon Certification), whose full value chain scope ensures that the renewable feedstock used is certified renewable, sustainably produced and traceable to point of origin.
“Using renewable feedstocks produced primarily from waste and residue streams is a major contribution to reducing our reliance on fossil fuel based feedstocks,” explains Lucrèce Foufopoulos, Borealis Executive Vice President Polyolefins, Innovation & Technology and Circular Economy Solutions. “Through co-operation with Neste we can offer our customers and partners a new portfolio of renewable PP solutions, helping them to make their offering more climate friendly. True to our EverMinds™ approach, we are a frontrunner in helping build a circular economy for plastics. Borealis will not only help protect the environment, but also build a business fit for the future.”
“Polymers and chemicals industries will play a major role in the fight against climate change. It is, therefore, very satisfying to see the industry change starting to happen towards more sustainable, climate-friendlier feedstock alternatives. We are eager to help forerunner companies like Borealis to start replacing fossil-based feedstock with renewable ones. This new step is a meaningful contribution towards creating a healthier planet for our children,” says Mercedes Alonso, Executive Vice President, Renewable Polymers and Chemicals, Neste.
“Following its earlier commitment to scale its offer of recycled plastics, it is great to see Borealis continue to gradually shift its core business away from the consumption of fossil resources by producing renewable-based plastics,” comments Sander Defruyt, Lead of the Ellen MacArthur Foundation's New Plastics Economy initiative. “This ambition is very much in line with the vision of a circular economy for plastics that Borealis endorsed when joining The New Plastics Economy Global Commitment. In a circular economy, plastics never become waste, and plastics production shifts from a model depending on the extraction of finite fossil resources towards one based on the circulation of materials. By scaling up the production of renewable-based plastics, Borealis and Neste actively support the shift towards a circular economy for plastics.”
Vice President, Communications (act.)
Neste’s Media Desk, +358 50 458 5076 or e-mail at media(at)neste.com, during weekdays between 8:30 a.m. and 4:00 p.m. (EET).
Borealis: Virginia Mesicek, Senior Manager a.i., External Communications, email@example.com, Tel.: +43 1 22 400 772 (Vienna, Austria)
Neste (NESTE, Nasdaq Helsinki) creates sustainable solutions for transport, business, and consumer needs. Our wide range of renewable products enable our customers to reduce climate emissions. We are the world's largest producer of renewable diesel refined from waste and residues, introducing renewable solutions also to the aviation and plastics industries. We are also a technologically advanced refiner of high-quality oil products. We want to be a reliable partner with widely valued expertise, research, and sustainable operations. In 2018, Neste's revenue stood at EUR 14.9 billion. In 2019, Neste placed 3rd on the Global 100 list of the most sustainable companies in the world. Read more: neste.com
Borealis is a leading provider of innovative solutions in the fields of polyolefins, base chemicals and fertilizers. With its head office in Vienna, Austria, the company currently has more than 6,800 employees and operates in over 120 countries. Borealis generated EUR 8.3 billion in sales revenue and a net profit of EUR 906 million in 2018. Mubadala, through its holding company, owns 64% of the company, with the remaining 36% belonging to Austria-based OMV, an integrated, international oil and gas company. Borealis provides services and products to customers globally, in collaboration with Borouge, a joint venture with the Abu Dhabi National Oil Company (ADNOC) and with Baystar™, a joint venture with Total and NOVA Chemicals in Texas, USA. www.borealisgroup.com
About Borealis EverMinds
Launched in 2018, EverMinds is an umbrella brand uniting the wide range of Borealis activities and initiatives aimed at making plastics more circular. As a dedicated platform, EverMinds promotes a circular mind-set among all Borealis stakeholders. The platform encompasses proprietary Borealis technologies as well as established brands such as Purpolen™ and Dipolen™. It facilitates deeper collaboration between Borealis and its partners in order to develop innovative and sustainable polyolefins solutions based on the circular model of recycling, re-use and design for circularity. EverMinds also extends to pioneering corporate programmes such as Project STOP, and engagement in industry initiatives like the Polyolefins Circular Economy Platform (PCEP), and Project CEFLEX. www.borealiseverminds.com
Dipolen, Purpolen Baystar and EverMinds are trademarks of Borealis AG
NEXBTL is a trademark of Neste