MPC - Neste pays $1b to create renewable fuels JV with Marathon at Martinez

After markets closed Tuesday, Neste (OTCPK:NTOIF) and Marathon (NYSE:MPC) announced a renewable fuels joint venture, whereby the Finnish fuels producer will pay Marathon (MPC) $1b for 50% of its Martinez project. The project is expected to have production capacity of 260mg/y by the 2nd half of 2022, and 730mg/y by the end of 2023. The conversion is budgeted to cost $1.2b.  Neste (OTCPK:NTOIF) is a Helsinki-based refinery that has made a name for itself by converting a majority of its oil refining assets to renewable diesel production. The Company is unique amongst peers, as it has developed sophisticated supply chains to source waste and residues, rather than relying on edible food products for feedstock.  The Martinez refinery has capacity to refine ~160kb/d of crude oil and serves the San Francisco market. Post conversion, at peak capacity, the plant will produce ~48kboe/d. When Martinez is fully converted, local fuel supplies to

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Neste pays $1b to create renewable fuels JV with Marathon at Martinez