Finland’s Neste has unveiled plans to invest €1.9bn ($2.01bn) in its refinery in Rotterdam, Netherlands, to expand its production capacity of renewable products.

The move comes as the Finnish biofuel producer intends to meet the increasing demand for renewable products as concerns intensify over climate change, reported Reuters.

With the expansion project, the renewable products production capacity at the refinery is expected to increase to 2.7 million tons per annum (Mtpa), from the current 1.4Mtpa.

The expansion project will involve the installation of a new production unit at the refinery.

Out of the total refining capacity, the refinery will have a sustainable aviation fuel (SAF) production capability of 1.2 million tonnes.

Neste president and CEO Matti Lehmus said: “The investment in the expansion of our Rotterdam refinery strengthens our global leading position in renewable products.

“It also marks an important step in ensuring our future competitiveness and our renewables’ growth strategy execution as it will bring a substantial amount of renewable diesel, SAF, and renewable feedstock for polymers and chemicals to our sustainability-focused customers.”

The Finnish company plans to start operations at the new renewable products unit in the first half of 2026.

Neste makes use of its proprietary NEXBTL technology that converts renewable fats and oils into renewable products such as fuels and feedstock for the production of chemicals and polymers.

Lehmus added: “This investment will further strengthen our competitive advantages, which are based on the global optimisation of our production and waste and residue raw material usage. With our proprietary NEXBTL technology, high-quality renewable products can be refined flexibly from a wide variety of lower-quality waste and residues.”

Located in the Maasvlakte area in the Port of Rotterdam, the refinery started renewable products production in 2011.