The two locations are seen as potential alternative sites for a unit capable of producing approximately 200,000 tonnes of premium-quality renewable diesel per year from wood biomass.

The entire production chain – from raw material, in the shape of wood biomass, all the way to biowax suitable for refining into renewable diesel – has been tested at the company’s demonstration plant in Varkaus, which was commissioned in 2009.

Neste Oil CEO Matti Lievonen and Stora Enso CEO Jouko Karvinen said that the results from the demonstration plant have been promising, but no decision on the possible commercial plant has been taken, and the first full-scale commercial plant will represent an investment of at least €500m.