NYK Subsidiary Concludes COA with Neste for Eco-friendly Renewable Diesel
Mar. 19, 2021
NYK Bulkship (Asia) Pte. Ltd., an NYK Group company based in Singapore, has signed a Contract of Affreightment (COA) with Neste Shipping Oy, a wholly owned subsidiary company of Neste Oyj (Neste) headquartered in Finland, for the ocean transportation of renewable diesel.
In December 2020, NYK Bulkship (Asia) made the first spot contract for the ocean transportation of renewable diesel, and delivery of the cargo was successfully completed in February 2021.
Neste Renewable Diesel (NRD) is produced from globally sourced wastes and residues such as waste animal fat, residues from vegetable oil, used cooking oil. It is reported that the chemical properties of the product are similar to those of fossil diesel, and reduces Greenhouse gas (GHG) emissions up to 90% compared to fossil diesel. NYK Bulkship (Asia), an MR (medium range) product/chemical tanker operator will be transporting the product from Singapore to North America for the COA.
NYK Bulkship (Asia) is aiming to further contribute to ocean transportation of renewable products including the Sustainable Aviation Fuel (SAF) such as NRD in accordance with the NYK Group's ESG management strategy.
On February 3, 2021, NYK announced the NYK Group ESG Story, which aims to further integrate ESG into the company's management strategy and promotes activities that contribute to the achievement of the SDGs (Sustainable Development Goals) through business activities.
To strongly promote ESG management, the NYK Group will encourage new value creation as a sustainable solution provider through a business strategy that includes contributing to the stable supply of eco-friendly renewable diesel.
Overview of Neste Oyj
Head office: Espoo, Finland
President and CEO: Peter Vanacker
NYK Group, press release