Neste and Chevron Lummus Global are developing a novel technology for processing lignocellulosic waste and residues into renewable fuels

Neste Corporation, Press Release, 11 June 2025 at 10 a.m. (EET)

Neste and Chevron Lummus Global (CLG), a leading technology provider for the production of renewable and conventional transportation fuels, are partnering to drive innovation in renewable fuels. The companies have joined forces to develop a new technology enabling conversion of lignocellulosic biomass into high-quality, lower-emission renewable fuels, such as sustainable aviation fuel (SAF) and renewable diesel. 

The joint development has reached the first major milestone, and the piloting results indicate that the new technology could offer a significant performance improvement over existing technologies for lignocellulosic raw materials. Neste and CLG are currently validating the technology and targeting readiness to scale up the technology to commercial scale. 

Vast amounts of lignocellulosic waste and residues from existing forest industry and agricultural production remain underutilized and could be leveraged as valuable renewable raw materials. These waste and residues are generated, for instance, in harvesting operations and forest industry processing, or they are end-of-life wood materials. 

“Lignocellulosic waste and residues can make an important contribution as a new and scalable raw material pool for renewable fuels. The technology development with CLG has progressed well, and we are very encouraged by the initial results. Unlocking the potential of these promising raw materials would allow us to meet the growing demand of renewable fuels in the long-term and contribute to ambitious greenhouse gas emission reduction targets,” describes Lars Peter Lindfors, Senior Vice President of Technology and Innovation at Neste.

The strategic partnership combines Neste's pioneering expertise and global leadership in renewable fuels as well as CLG's extensive experience and proven track record in developing and licensing market-leading refining technologies.

“The successful proof of concept marks a major milestone in the collaboration, advancing the efforts towards commercial-scale production of renewable fuels from abundantly available but technically challenging lignocellulosic raw materials. We are confident this partnership will pave a new pathway for producing renewable fuels, leveraging our versatile and scalable hydroprocessing technology platform,” says Rajesh Samarth, Chief Executive Officer of CLG.

Neste Corporation

Hanna Maula
Senior Vice President, Communications, Marketing, Sustainability and Public Affairs

Further information: Please contact Neste's media service, tel. +358 800 94025 / media@neste.com (weekdays from 8.30 a.m. to 4.00 p.m. EET). Please subscribe to Neste’s releases at https://www.neste.com/media/subscribe. 

Neste in brief

Neste (NESTE, Nasdaq Helsinki) creates solutions for mitigating climate change and accelerating a shift to a circular economy. The company is the world’s leading producer of sustainable aviation fuel (SAF) and renewable diesel, enabling its customers to reduce their greenhouse gas emissions. Neste refines waste, residues and other renewable raw materials to high-quality renewable fuels at its refineries located on three continents. The company’s annual renewable fuels production capacity will be increased to 6.8 million tons in 2027. 

Neste has high standards for sustainability and the company has consistently been recognized by several leading sustainability indices. In 2024, Neste's revenue stood at EUR 20.6 billion. Read more: neste.com 

Chevron Lummus Global in brief

Chevron Lummus Global (CLG), a joint venture between Chevron U.S.A. Inc. and Lummus Technology, is a leading technology provider for the production of renewable and conventional transportation fuels, premium base oils, and sustainable petrochemicals from a wide range of feedstocks. Powered by cutting-edge catalysts and innovative reactor internals, CLG’s portfolio is designed to optimize efficiency and flexibility while minimizing emissions and maximizing economic returns. Read more: www.chevronlummus.com.