Neste Oil secures the future competitiveness of its lubricants business
Neste Oil has agreed three new partnership agreements designed to secure the competitiveness of its lubricants and automotive chemicals operations into the future. The new agreements cover the packaging, transportation, and storage of the company’s lubricants and automotive chemicals.
The reorganization of Neste Oil’s lubricants business is the result of the fact that the area where the company’s Laajasalo plant is located has been rezoned by its owner, the City of Helsinki. The latter has decided to convert the area into a residential district and has not renewed the lease on Neste Oil’s site or that of other companies.
Neste Oil will outsource the production of its lubricants to an Ashland plant in the Netherlands over the summer, under the terms of an agreement signed at the end of last year.
The new partners and the areas that they will be responsible for are as follows:
• ADR-Haanpää Oy: bulk storage and transport of lubricants
• Etelä-Suomen Logistiikkatalo Oy: storage of prepacked lubricants in Finland
• Setynoil Oy: blending and packaging of automotive chemicals and consumer packaging of lubricants.
Responsibility for packing, transporting, and storing products will shift to the new partners in August 2008. Operations will be based initially at Neste Oil’s Laajasalo site and will transfer on a phased basis to Neste Oil’s partners’ locations, a process that will be completed by fall 2009.
Statutory negotiations with personnel
Neste Oil held statutory negotiations with a total of 45 employees affected by the changes in the company’s lubricants business in fall 2007.
“With the help of internal recruitment and retirement packages, and the new agreements we have now signed, I believe that we will be able to find a positive solution for virtually all the personnel affected,” says Executive Vice President, Oil Retail Sakari Toivola.
Neste Oil’s new partners in brief
ADR-Haanpää Oy is the Nordic region’s leading bulk chemicals logistics specialist. In addition to tanker truck and container transport, the company offers its customers storage services and technology and total logistics solutions expertise. A growing number of customers are looking for partners that provide a broader range of logistics services above and beyond basic transport, and ADR-Haanpää Oy is focusing increasing resources on this area.
Etelä-Suomen Logistiikkatalo Oy is part of the Finnish operations of Posten’s logistics business. Posten Logistik Finland is 100%-owned by Sweden’s Posten, which provides comprehensive logistics solutions for customers in all the Nordic countries, the Baltic countries, and the Netherlands. The business is divided into two units: Standard Services, which provides standard palletized and parcel deliveries; and Solutions, which provides system-based transport and contract logistics solutions. The business is growing and the company has become one of the leading players in its markets.
Setynoil Oy is a specialist chemical blending and packaging company. Currently based at Laajasalo in Helsinki, Setynoil is building a new facility in Järvenpää, which is due to become operational at the end of summer 2009.
Neste Oil Corporation
Oil Retail
Sakari Toivola
Executive Vice President
Further information:
Oil Retail, Vice President Esa Miettinen, tel. +358 (0)50 458 5788
Oil Retail
Oil Retail markets and sells Neste Oil's products and services through its fuel station network and also directly to private households, companies and industry. Oil Retail is a significant oil product marketing company also in north-west Russia, Estonia, Latvia, Lithuania and Poland. In all operations Oil Retail emphasizes customer relations, quality and efficiency.