MANAGEMENT AND ORGANIZATIONAL CHANGES AT NESTE OIL

New executive vice presidents have been appointed to three of Neste Oil's divisions as part of a round of internal job rotation, and a new division, Specialty Products, has also been added to the company's organization. Jarmo Honkamaa (51) has been appointed Deputy CEO. All of these changes will come into effect as of 16 October, 2007.

 

 

Jarmo Honkamaa, who currently heads up Oil Refining, has been appointed Executive Vice President, Biodiesel, in addition to Deputy CEO. This division is responsible for Neste Oil's proprietary second-generation NExBTL Renewable Diesel. The first plant producing NExBTL was completed earlier this year at Porvoo, and a second is under construction alongside the first. Neste Oil has targeted becoming the world's leading producer of renewable diesel as part of its latest strategy.

 

Jorma Haavisto (53), who is currently Vice President, Porvoo refinery, has been appointed Executive Vice President, Oil Refining and will be responsible for Neste Oil's refineries at Porvoo and Naantali, feedstock supply for them, and petroleum product wholesale operations. Oil Refining has been highlighted as one of the company's growth areas, alongside biodiesel.

 

Following Matti Peitso's retirement, Sakari Toivola (54), currently Vice President, Base Oil, has been appointed as his successor as Executive Vice President, Oil Retail. Toivola joined Neste Oil earlier this year from oy Esso ab (Finland), where he was CEO.  Oil Retail is responsible for the retail sales of Neste Oil's petroleum products, including the network of Neste service stations in Finland, Estonia, Latvia, Lithuania, Poland, and the St. Petersburg region in Russia. Oil Retail also handles direct sales of petroleum products to industrial customers and consumers, LPG operations, and land logistics services.

 

Neste Oil's current Executive Vice President, Biodiesel, Kimmo Rahkamo (45) has been appointed Executive Vice President of the new Specialty Products division. This will be responsible for the production and sale of base oils and gasoline components. Rahkamo will also be responsible for Neste Oil's stake in Nynäs Petroleum, a specialist producer of bitumen and naphthenic specialty oils owned in collaboration with Venezuela's PDVSA.

 

Risto Näsi (49) will continue as Executive Vice President, Shipping. Neste Shipping is responsible for carrying crude oil, other feedstocks, and petroleum products, and operates some 30 ice-strengthened tankers. Around half of Shipping's cargoes are carried for outside customers.

 

Neste Oil will announce later whether the addition of a new division will affect the company's external reporting. The figures for Biodiesel and Specialty Products currently come under Oil Refining segment.

 

 

 "It's important for the Executive Team, like other parts of the Neste Oil organization, to promote job rotation, as it opens up new opportunities for change and increased cooperation. The businesses that we have grouped under the new Specialty Products division have become sufficiently significant to form a separate division. The changes that we've announced are also designed to give us better potential to implement our strategy focusing on cleaner traffic fuels and lubricants as we move forward."

 

 

Following the changes detailed above, the composition of the Neste Oil Executive Team will be as follows: Risto Rinne (Chairman), Jorma Haavisto, Jarmo Honkamaa, Risto Näsi, Kimmo Rahkamo, and Sakari Toivola, together with CFO Petri Pentti, Senior Vice President, Corporate Development, Juha-Pekka Kekäläinen, Senior Vice President, Human Resources, Hannele Jakosuo-Jansson, and Senior Vice President, Communications, Osmo Kammonen. All the members of the Executive Team report to the President & CEO.

 

 

Martti Ronkainen (43) has been appointed Vice President, Porvoo refinery and will take over on 16 October, 2007. Ronkainen is currently Production Manager of the refinery's new PL 4 diesel line, and he previously headed the construction of the line. 

 

As the current head of the Naantali refinery Ove Sundström, is due to retire, Miika Eerola (41) has been appointed the new Vice President, Naantali refinery. Currently Production Manager at Porvoo, Eerola will take over at Naantali on 1 January, 2008.

 

 

For further information:

CEO & President Risto Rinne on +358 10 458 11

Senior Vice President, Communications Osmo Kammonen on +358 10 458 4885

 

 

 

Neste Oil Corporation

 

Osmo Kammonen

Senior Vice President, Corporate Communications

 

 

The CVs of the members of the Neste Oil Executive Team can be consulted at www.nesteoil.com.

 

 

Neste Oil Corporation is a refining and marketing company focused on advanced, clean traffic fuels, with a strategy that prioritizes growing its refining and premium-quality biodiesel businesses. Neste Oil's refineries are located at Porvoo and Naantali in Finland, and have a total refining capacity of approx. 250,000 bbl/d. The company employs around 4,700 people and its shares are listed on the Helsinki Stock Exchange. For further information, see www.nesteoil.com.