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Neste’s response to the war in Ukraine

(Updated on 24 May 2022)

We are appalled and concerned about the war in Ukraine, which is a clear violation of international law and principles of human rights. Neste, along with so many businesses and individuals, condemns the invasion by Russia.

Neste has decided to stop using Russian crude oil entirely and replace it with other crudes, such as North Sea oil. We believe that substituting crude oil grades can be found on the world market. From the beginning of April onwards, Neste has within the frame of existing supply contracts and technical capabilities replaced approximately 85% of the Russian crude oil with other qualities. We have not bought Russian crude oil on the spot market since the start of the war, and we are not making any new supply agreements of Russian crude oil or fossil feedstocks.The existing supply contracts for Russian crude oil end in July and the contracts for other fossil feedstocks by the end of the year. Until the end of July, it is estimated that one crude oil cargo per month will be delivered to our Porvoo refinery.  

Neste does not have any natural gas sourcing agreements directly with the Russian gas producers. Instead, similarly to the majority of industrial operators, we source natural gas via national grids from gas marketing companies. Neste can replace natural gas with other alternatives, and we have already actively worked towards their introduction into our processes. The disruption of natural gas supplied from Russia on 21st May 2022 has not affected the operations of Neste's Porvoo refinery or product deliveries.

Neste does not buy renewable raw materials from Russia and will not make any new agreements to buy renewable raw materials from Russia in the current situation. Russia has not been an important source of renewable raw materials for us; in recent years, we have obtained very small volumes of renewable waste and residues from Russia that meet the sustainability criteria of European legislation.

The renewable raw materials for Neste's renewable products are sourced globally, and we have invested in developing supply chains in Europe, the USA and the APAC region.

We continue to closely monitor the development of sanctions and are prepared to react to possible changes. Neste, among other companies and organizations in the energy sector, has a central role in the security of supply of energy in Finland. For this reason, the changes are implemented in a controlled manner so that we can fully secure product deliveries and safe continuation of our operations. 

We share the concern about the war in Ukraine. We have witnessed strong support for Ukraine among our employees, our customers and the international community. The war has caused and continues to cause vast human suffering. We have provided humanitarian support by donating to two organizations, The Red Cross and UNICEF, and we continue to look for ways in which we can help. 

Our strategic goal is to become a global leader in renewable and circular solutions. We are committed to combating climate change and reducing climate emissions through both global and local efforts. Our goal is to reduce customers' greenhouse gas (GHG) emissions with our renewable and circular solutions by at least 20 million tons of CO2 eq annually by 2030, reach carbon neutral production by 2035 and to reduce the use phase emission intensity of sold products by 50% by 2040 compared to 2020 levels. We also aim to make Porvoo the most sustainable refinery in Europe by 2030.