Fintoil’s Hamina biorefinery, which will start up in July 2022, refines crude fatty acids from the by-product of softwood pulp, crude tall oil (CTO), to produce second-generation renewable diesel and biochemicals for chemical, food and pharmaceutical industries. The biorefinery has an annual refining capacity of 200,000 tonnes of CTO feedstock. Fintoil aims at a revenue of EUR 150 million and will employ 35 persons directly and an estimated 100 persons indirectly. Fintoil’s refinery utilizes the patented NEXPINUS™ technology provided by Neste Engineering Solutions, which enables more than 40% lower energy consumption in comparison to a traditional tall oil refinery. When completed, the Hamina biorefinery will be the world’s third largest crude tall oil refinery.

June 2021 Fintoil successfully completed the issuance of EUR 70 million Senior Secured Green Bond, rated Medium Green by Cicero, combined with a committed EUR 10m Super Senior Revolving Credit Facility. Fintoil has now secured the financing comprising ca. EUR 130 million of equity and debt for its biorefinery investment in Hamina, Finland. In addition to the green bond and SSRCF, Fintoil’s financing consists of EUR 40 million of preferred equity and EUR 11 million of seed equity. The investment is thus fully financed and on schedule for completion by July 2022.

The Senior Secured Green Bond has a maturity of 4 years and carries a fixed coupon of 7.5% p.a. The proceeds from the SSGB will be used entirely on the biorefinery investment according to Fintoil’s Green Finance Framework. Fintoil also secured a multi-year binding commitment for a Super Senior Revolving Credit Facility for working capital needs and initially intended for the financing of raw material purchases.

The new biorefinery accelerates efforts by Finland and the EU to reach carbon neutrality as the CO2 footprint of CTO derivatives is up to 90% lower than its fossil alternatives. Crude tall oil is classified as a sustainable feedstock for advanced biofuels in the EU’s Renewable Energy Directive. Fintoil’s production is projected to enable reduction of CO2 emissions of up to 400,000 tonnes annually equaling to roughly one percent of Finland’s total net emissions.

Second Opinion CICERO Fintoil Hamina Oy: Download here

Fintoil Green Bond Framework: Download here

Terms and Conditions of the Notes: Download here



Bondholder Report Q3/2021: Download here

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