News releases

• Lower-emissions biofuels and biofuel components to be produced from wood waste
• Advances efforts to help reduce greenhouse gas emissions in the transportation sector
• Agreement includes 49.9% stake in Biojet AS and offtake agreements for up to 3 million barrels per year 

IRVING, Texas – ExxonMobil is expanding its interests in biofuels that can help reduce greenhouse gas emissions in the transportation sector, acquiring a 49.9% stake in Biojet AS, a Norwegian biofuels company that plans to convert forestry and wood-based construction waste into lower-emissions biofuels and biofuel components.

Biojet AS plans to develop up to five facilities to produce the biofuels and biofuel components. The company anticipates commercial production to begin in 2025 at a manufacturing plant to be built in Follum, Norway. The agreement enables ExxonMobil to purchase as much as 3 million barrels of the products per year, based on the potential capacity of five facilities.

“The agreement with Biojet AS advances ExxonMobil’s efforts to provide lower-emissions products for the transportation sector,” said Ian Carr, president of ExxonMobil Fuels and Lubricants Company. “Using our access at the Slagen terminal, we can efficiently distribute biofuels in Norway and to countries throughout northwest Europe.”

Biofuels and biofuel components can meet the requirements for advanced fuels under Norwegian, European Union and United Kingdom regulations. According to the European Union Renewable Energy Directive, biofuels produced from wood waste can help reduce life-cycle greenhouse gas emissions by 85% compared to petroleum-based diesel. 

When produced, Biojet AS’s biofuels can be used for passenger vehicles and heavy trucks. Additional opportunities for marine transportation and aviation may develop as the market for lower-emissions biofuels expands. 

The investment in Biojet AS builds on ExxonMobil’s continuing efforts to develop and deploy lower-emission energy solutions. ExxonMobil established a Low Carbon Solutions business in 2021 and is currently evaluating biofuels, carbon capture and storage, and hydrogen projects around the world. 

ExxonMobil’s majority-owned affiliate, Imperial Oil Ltd., is moving forward with plans to produce renewable diesel at a new complex at its Strathcona refinery, and ExxonMobil expanded its agreement to annually purchase up to 5 million barrels of renewable diesel from Global Clean Energy’s biorefinery in California. Chemically similar to petroleum-based diesel, renewable diesel and other biofuels can be readily blended for use in engines on the market today.

Since 2000, ExxonMobil has invested more than $10 billion to research, develop and deploy lower-emission energy solutions. 

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Cautionary Statement

Statements of future events, plans or product offerings in this release are forward-looking statements. Actual future results, including product offerings, investment performance, delivery timing. available capacity, and the impact and results of new technologies on product efficiency and life-cycle emission reductions could vary depending on the outcome of general business conditions; further research and testing; the development and competitiveness of alternative technologies; the ability to scale pilot projects on a cost-effective basis; political and regulatory mandates, incentives and other developments; and other factors discussed in this release and under the heading “Factors Affecting Future Results” on the Investors page of ExxonMobil’s website at exxonmobil.com.

Exxon Mobil Corporation has numerous affiliates, many with names that include ExxonMobil, Exxon, Mobil, Esso, and XTO. For convenience and simplicity, those terms and terms such as Corporation, company, our, we, and its are sometimes used as abbreviated references to specific affiliates or affiliate groups. Nothing contained herein is intended to override the corporate separateness of affiliated companies.

After a thorough Information and Consultation process with employees and their representatives the Board of Directors of Esso Norge AS has decided to convert its Slagen refinery to a Fuel import terminal.

Slagen refinery operates in an increasingly challenging market, characterized by strong competition, evolving regulatory measures and falling demand leading to overcapacity in the market. In this environment the continued Slagen refinery operation is not economically viable over the long term.
Ongoing reliable fuel supply for Esso customers will be ensured through import of high quality fuel products.

We thank our employees for their tremendous efforts to improve the performance of the Slagen refinery. We understand the significant impact of the decision on our employees, and remain committed to supporting them during this challenging time.

All employees impacted by the conversion will be provided with support, including outplacement services for those seeking future employment opportunities. Esso will work closely with relevant authorities to support the employees who will be affected by the conversion. 

Throughout the conversion process, the company’s priorities will remain the same — meeting the expectations of employees, customers and business partners, while maintaining a consistent focus on safe, reliable and environmentally responsible operations. 

Contact:
Anne Fougner
Public and Government Affairs Manager
Esso Norge AS
Phone +47 90516835

Esso Norge AS is evaluating the conversion of operations at its Slagen refinery to a fuel import terminal. The Board of Directors of Esso Norge AS has today initiated an Information and Consultation process with employees and their representatives as part of an extensive review of the long-term economic viability of the facility. 

Refineries in Europe operate in an increasingly challenging market, characterized by falling demand and strong competition, leading to overcapacity in the market. In Norway, demand has decreased for road transportation fuels. 

“We thank our employees for their tremendous efforts during this challenging time,” said Per-Erik Aasum, president of Esso Norge AS. “We understand the significant impacts a conversion would have on our employees, and we are committed to keeping an open dialogue throughout the process to ensure our employees are treated fairly and with respect.”

If converted to a terminal, Slagen would import high quality fuel products for further distribution through existing infrastructure to ensure ongoing, reliable fuel supply for Esso customers. The basis for and timing of a potential conversion will be subject to consultation with employees and dialogue with the relevant authorities.

During the course of the evaluation, the Slagen refinery will remain in operation to ensure continued, reliable fuel supply. Throughout this process, the company’s priorities will remain the same — meeting the expectations of employees, customers and business partners, while maintaining a consistent focus on safe, reliable and environmentally responsible operations. 

Esso has a long history in Norway and has delivered high quality products and services for more than 125 years. The Slagen refinery has provided critical energy products to support the country’s growth since 1961. We value the long-term relationship with our customers and will continue to provide first-class customer service.

Contact:
Anne Fougner
Public and Government Affairs Manager
Esso Norge AS
Phone +47 90516835