- Nuseed and bp enter into a 10-year strategic agreement enabling Nuseed to accelerate the expansion of its Nuseed Carinata sustainable production program.
- bp will purchase Nuseed Carinata oil and plan to process or sell it into growing markets to supply sustainable biofuels.
Nuseed, today announced that it has entered into a long-term strategic offtake and market development agreement with BP Products North America Inc. (bp), an affiliate of BP p.l.c., that will see bp, or its affiliates, purchase Nuseed Carinata oil that it plans to process or sell into growing markets for the production of sustainable biofuels.
Nuseed Carinata is a non-food cover crop that can be used to produce low-carbon biofuel feedstock that is independently certified, sustainable and scalable.
Increased global demand for biofuels is being driven by the need to access sustainable sources of energy to help achieve global greenhouse gas (GHG) reduction targets.
“Sustainable biofuels have a vital role to play in decarbonizing transport, said Carol Howle, executive vice president, trading & shipping at bp. By working with Nuseed, we can use their sustainable feedstock to help decarbonize challenging transportation sectors such as aviation, supporting the production of sustainable aviation fuel (SAF) and other biofuels.”
Nuseed Group Executive Brent Zacharias said, “Nuseed Carinata is a proven, drop-in solution for biofuel processors that’s ready to scale globally on existing farmland between main food crops. Nuseed Carinata demonstrates how agriculture and energy companies can work together to meet demand for biofuels that lower lifecycle carbon emissions. This agreement enables us to accelerate the expansion of Carinata production to increase biofuel feedstock sustainably, while supporting higher economic returns on Nuseed’s investment in the Carinata platform.”
The agreement is for an initial 10-year term and will see Nuseed continue to develop and expand its existing network of growers, channel and supply chain partners to deliver Carinata oil to bp or its affiliates, with key steps of crop production independently audited and certified. The Carinata oil will be processed by bp or affiliates through its bio refining footprint and also sold into growing markets for the production of sustainable biofuels, utilizing the global reach of bp’s Trading and Shipping (T&S) team to accelerate market adoption of Nuseed Carinata as a sustainable biofuel feedstock.
Nuseed is currently increasing commercial production in Argentina and planning expansion programs in South America and the United States. Initial research and market development programs are also underway in Europe and Australia. bp expects to initially target low-carbon biofuel markets in Europe and North America.
Mr. Zacharias noted, “The agreement between bp and Nuseed will assist with the rapid expansion of production, with bp standing as a committed buyer of feedstock and marketer of resulting fuels.”
bp is already an active participant in the biofuels supply chain. bp produces renewable diesel from biomass-based feedstocks, including in the United States where it recently announced a project to expand renewable diesel production capability to an estimated 2.6 million barrels a year in 2022. Globally, the bp group aims to more than double its bioenergy portfolio by 2025 – and to quadruple it by 2030 – compared to 2019.
Further information:
bp press office London, [email protected], +44 7919 217511
Nuseed media contact: [email protected]
About bp
bp’s purpose is to reimagine energy for people and our planet. It has set out an ambition to be a net zero company by 2050, or sooner and help the world get to net zero, and a strategy for delivering on that ambition. For more information visit bp.com.
About Nuseed Carinata
Nuseed Carinata is a sustainably scalable non-food cover crop feedstock for low-carbon biofuel that protects and improves soil between main crop harvest and next season’s planting. It reduces emissions when its oil is used to replace fossil fuels, plus it removes atmospheric carbon, and restores soil carbon while it grows. Nuseed Carinata does not displace primary food crops or require additional farmland, and rewards sustainable farming practices. It is certified by the Roundtable on Sustainable Biomaterials under their Principles & Criteria which are recognized as best-in-class in addressing key sustainability issues in a comprehensive way [1]. Carinata is listed by the International Civil Aviation Organization (ICAO) as a sustainable aviation fuel (SAF) feedstock with a similar greenhouse gas (GHG) footprint as waste and residuals, like used cooking oil. [2]
About Nuseed
Nuseed is unlocking the full potential of canola, carinata, sorghum and sunflower to deliver VALUE BEYOND YIELD®. Nuseed provides new, sustainable plant-based solutions to growers, industry, and end-use customers, adding value at every step and for each participant in the Nuseed Value Chain.
Over 250 Nuseed employees work across global locations including three world-class Nuseed Innovation Centers. Established in Australia in 2006, Nuseed has grown to offer industry leading germplasm, advanced molecular capabilities, regional R&D and commercial trials with dedicated teams in Australia, Europe, North America and South America, and sales in more than 30 countries.
Nuseed is a wholly owned subsidiary of Nufarm Limited (ASX:NUF).
Learn more at nuseed.com
Cautionary statement:
In order to utilize the ‘safe harbor’ provisions of the United States Private Securities Litigation Reform Act of 1995 (the ‘PSLRA’), bp is providing the following cautionary statement. This press release contains certain forward-looking statements – that is, statements related to future, not past events and circumstances – which may relate to one or more of the financial condition, results of operations and businesses of bp and certain of the plans and objectives of bp with respect to these items. These statements are generally, but not always, identified by the use of words such as ‘will’, ‘expects’, ‘is expected to’, ‘aims’, ‘should’, ‘may’, ‘objective’, ‘is likely to’, ‘intends’, ‘believes’, ‘anticipates’, ‘plans’, ‘we see’ or similar expressions. Actual results may differ from those expressed in such statements, depending on a variety of factors including the risk factors set forth in our most recent Annual Report and Form 20-F under “Risk factors” and in any of our more recent public reports.
Our most recent Annual Report and Form 20-F and other period filings are available on our website at www.bp.com, or can be obtained from the SEC by calling 1-800-SEC-0330 or on its website at www.sec.gov.
Footnotes:
[1] https://rsb.org/wp-content/uploads/2020/10/RSB_CRT_EU_Nuseed_022520_final-1.pdf
