Uchenna Izundu
International Editor
LONDON, Sept. 7 -- Statoil AS plans to buy a 42.5% stake in UAB Mestilla, a biodiesel producer in the Baltic states, under a letter signed with Scandanavian SEB Venture Capital. The sum of the investment was not disclosed.
The interest will help Statoil build a marketing presence in the Baltic states, as UAB Mestilla is constructing the largest biodiesel producing plant in the free economic zone near the coastal town of Klaipeda, Lithuania. Operations from the 100,000 tonne/year plant will start in fall 2009.
It will sell biodiesel in the Baltic states, including Poland, via road and rail delivery.
Statoil said it was interested in the plant because it could access the vegetable oil raw material at competitive prices. The factory, using its own crusher, can also make vegetable oil directly from rapeseed oil supplied by farmers.
Linas Agro, which will have a 57.5% stake in the factory, will source the raw materials.
Contact Uchenna Izundu at [email protected].