Neste Corporation’s 50/50 Joint Venture with Marathon

Sidley and Roschier advised Neste Corporation on the deal, while Jones Day represented Marathon Petroleum Corp.

Neste Corporation, a leading supplier of renewable diesel and sustainable aviation fuel, announced the establishment of a 50/50 joint venture with Marathon Petroleum (Marathon). The joint venture will produce renewable diesel following a conversion project of Marathon’s refinery in Martinez, California (the Martinez Renewable Fuels project). Neste’s total investment will amount to approximately US$1 billion, inclusive of half of the total project development costs projected through completion.

The project is expected to increase Neste’s renewable products capacity by slightly over 1 million tons (365 million US gallons) per annum. Production of renewable diesel is expected to come online in the second half of 2022. The facility is planned to reach its full annual nameplate capacity of 2.1 million tons (730 million US gallons) by the end of 2023.

The Sidley team was led by partners Irving Rotter (Picture) and Katy Lukaszewski, with assistance from Trent Bridges, Jeff Kinney, Chanse Barnes, Chris Folmsbee, Aaron King, John Zappia and Brad Giacone (all Energy). The team also included Glenn Pinkerton and Joshua Sutton (Energy), Heather Palmer, Allen Braddock and Maureen Gorsen (Environmental), Zack Pullin and Aaron Mitchell (Tax), Lauren Grau and Collin Marshall (Technology and Life Sciences), Jim Mendenhall (Regulatory) and Karen Kazmerzak, Edward Sharon, Tom Bainbridge and Jamie Sadler (Antitrust/Competition).

The Jones Day team was led by David Stringer and Jeffrey Schlegel.

Roschier’s advisory team was led by Partner Jouni Salmi.

Involved fees earner: Jeffrey Schlegel – Jones Day; David Stringer – Jones Day; Jouni Salmi – Roschier; Tom Bainbridge – Sidley Austin LLP; Chanse Barnes – Sidley Austin LLP; Allen Braddock – Sidley Austin LLP; Trent Bridges – Sidley Austin LLP; Chris Folmsbee – Sidley Austin LLP; Brad Giacone – Sidley Austin LLP; Maureen Gorsen – Sidley Austin LLP; Lauren Grau – Sidley Austin LLP; Karen Kazmerzak – Sidley Austin LLP; Aaron King – Sidley Austin LLP; Jeff Kinney – Sidley Austin LLP; Katy Lukaszewski – Sidley Austin LLP; James Mendenhall – Sidley Austin LLP; Aaron Mitchell – Sidley Austin LLP; Heather Palmer – Sidley Austin LLP; Glenn Pinkerton – Sidley Austin LLP; Zackary Pullin – Sidley Austin LLP; Irving Rotter – Sidley Austin LLP; Jamie Sadler – Sidley Austin LLP; Edward Sharon – Sidley Austin LLP; Josh Sutton – Sidley Austin LLP; John Zappia – Sidley Austin LLP;

Law Firms: Jones Day; Roschier; Sidley Austin LLP;

Clients: Marathon Petroleum Corporation; Neste Corporation;

Martina Bellini

Author: Martina Bellini