Neste Oil has sold its Portuguese subsidiary, Neste Oil Portugal S.A., to Repsol Polimeros LDA. The acquisition price has not been disclosed. The divestment will have a minor positive impact on Neste Oil's second quarter results. The Sines plant, which has an annual capacity of 50,000 tonnes, produces ETBE, a bioethanol-based gasoline component. Neste Oil started MTBE production at the plant in 1992 and converted it to producing ETBE in 2005. The divestment allows Neste Oil to focus on its strategic priorities, while Repsol is well-positioned to develop the ETBE site as part of their Sines Petrochemical site.
Neste Oil divests its Portuguese subsidiary Neste Oil Portugal S.A.,owning an ETBE plant in Sines,to the Portuguese company Repsol Polimeros LDA.
The acquisition price is not disclosed. This divestment will have a minor positive impact on Neste Oil's second quarter result.
The Sines plant has an annual capacity of 50,000 tonnes. It produces ETBE (Ethyl Tert-Butyl Ether), which is a bioethanol-based gasoline component designed to enhance combustion and reduce tailpipe emissions. Neste Oil started MTBE production in Sines in 1992, and the plant was converted to producing ETBE at the beginning of 2005.
"This divestment allows Neste Oil to focus on its strategic priorities. Repsol is in a natural position to develop the ETBE site as an integrated part of their Sines Petrochemical site" says Mr Matti Lehmus, Executive Vice President, Oil Products, Neste Oil Corporation.