Neste, Marubeni, Resonac partner on production of renewable olefins, derivatives

Petrochemical company Neste Oyj has entered into a cooperative agreement with Marubeni Corp. and Resnonac Corp. to enable the production of renewable olefins and derivatives.

The collaboration involves Neste RE, a Neste-produced renewable raw material, being used to manufacture products at Japanese chemical company Resonac’s Oita Complex in Japan. Marubeni, a Tokyo-based general trading and investment conglomerate, will coordinate all logistical arrangements from Neste to Resonac.

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According to Finland-based Neste, its Neste RE product is a bio-based feedstock used in steam crackers. It is made from 100 percent renewable raw materials such as scrap and residue oils and fats. Consisting of pure hydrocarbons, Neste RE can be used to replace conventional feedstock such as fossil naphtha in chemicals value chains, which the company says contributes to a reduction in greenhouse gas (GHG) emissions.

“Replacing fossil resources in the production of plastics is one of the major challenges the industry faces,” says Carrie Song, Neste’s senior vice president of commercial and renewable products. “The sustainability transformation requires committed frontrunners and that is exactly what Marubeni and Resonac are.”

Yoshiaki Yokota, CEO of Marubeni’s Energy & Infrastructure Solution Group, says the company is excited to embark on a project to build the value chain for renewable chemicals. “We aim to contribute to the carbon neutrality of the petrochemical industry by establishing a trade flow of diverse renewable feedstocks in addition to conventional raw materials.”

Hirotsugu Fukuda, general manager of the olefins and derivatives business unit at Resonac, says the company’s Oita Complex has been ISCC Plus certified. “The Oita Complex will continue providing the market with renewable olefins and derivative products by applying a mass balance method based on the ISCC system.”