6 April 2011

Implementing strategy

Written by Virpi Amoedo
Published in Oil products

Neste Oil published recently the new step in implementing its base oils strategy; the partnership with ADNOC to bring 600,000 t/a of Nexbasee® base oils onto the market. New unit in Abu Dhabi is under construction, and is expected to be in commercial production in end 2013. The unit will produce 500,000 t/a of Group III base oils and 100,000 t/a Group II base oils, and its flexible output enables production of Nexbase® base oil gades from 2 cSt up to 6 cSt.

Neste Oil will, however, bring additional Nexbase® capacity to the market in second half of this year. Joint venture unit with Bapco and OGHC in Bahrain is already close to mechanical completion and commissioning, and this unit will produce 400,000 t/a of Group III base oils.

We are very delighted about these partnerships and these important milestones in implementing Neste Oil’s base oils strategy. Neste Oil aims at being one of the leading top-tier base oils suppliers in the global market, and our offering to the market is high-quality Nexbase® product slate. These two projects will increase Nexbase® base oil capacity to 1.3 million tons per year.

The strength of these projects is dedication to high standards. Key elements of the high quality Group III base oil production are suitable feedstock, proven production technology, solid operating experience, and advanced quality control. The best technologies and solutions available in the market have been searched, but also proprietary technologies of Neste Jacobs, which are especially developed for the purposes of high quality base oils production, have been adapted. Furthermore, based on its long experience in the Group III base oil market, Neste Oil will continue to offer extensive approval portfolio and technical service to its customers.

We appreciate the positive feedback received from the market concerning our chosen strategy, and we are pleased to tell more about Nexbase® products. Please feel free to contact us. Next industry event, where you will meet us, is ICIS Asian Base Oils & Lubricants Conference, 14th -15th June 2011 in Seoul.

Virpi Amoedo
Vice President, Base Oils