ExxonMobil to buy into Norwegian biofuels co Biojet

US oil group Exxon Mobil Corp (NYSE:XOM) said on Tuesday it has entered into an agreement to acquire a 49.9% stake in Norwegian biofuels company Biojet AS for an undisclosed sum.

Biojet intends to develop up to five facilities for the production of biofuels and biofuel components through the conversion of forestry and wood-based construction waste. It expects to begin commercial production in 2025 at a new site in Follum.

The stake purchase agreement comes with a contract allowing ExxonMobil to buy up to 3 million barrels of the products per year. Biojet’s biofuels can be used for passenger vehicles and heavy trucks, the announcement mentions.

Ian Carr, president of ExxonMobil Fuels and Lubricants Company, commented that this partnership will advance ExxonMobil’s efforts to provide lower-emissions products for the transportation sector.

“Using our access at the Slagen terminal, we can efficiently distribute biofuels in Norway and to countries throughout northwest Europe,” Carr stated.

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