New Borealis joint venture in Finland

New Borealis joint venture… Borealis has announced its intention to partner with Neste Oil and Veolia in a joint venture to modernise and operate the power plant in the Kilpilahti petrochemical cluster in Porvoo, Finland. Designed to meet demanding European emissions requirements, the power plant will supply Borealis' integrated petrochemical complex in Porvoo with safe, reliable and sustainable energy.

Much of the existing power generation infrastructure dates back to 1971, and is nearing the end of its operating life. The joint venture, co-owned by Neste Oil (40%), Veolia (40%) and Borealis (20%), will implement a modernisation programme between 2015 and 2017, with planning already underway. The result will be new generating facilities comprising three new steam boilers which will comply with the latest environmental regulations, including the European Commission's (EC) Industrial Emissions Directive.

Neste Oil plans to transfer its existing power plants at the Porvoo site into the joint venture in spring 2015. Borealis and Neste Oil will source energy for their respective activities in the integrated petrochemical complex from the joint venture on a contractual basis and Veolia will take responsibility for the operations.

"The modernisation of the power plant represents a milestone for our Porvoo location," says Markku Korvenranta Borealis Executive Vice President Base Chemicals. "It further strengthens our integrated operations with Neste Oil, improves the environmental performance and supports a sustainable future for the Porvoo location. This joint-venture will secure our long-term reliable energy supply for our operations in Porvoo on a competitive basis."

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