On Friday, the Klaipėda Free Economic Zone officially launched a EUR 60 million investment by biodiesel producer UAB „Mestilla“ in a new modern rapeseed processing plant and advanced biofuel technology on the territory of the existing plant. „This is an excellent example of the bioeconomy, where the raw materials grown by farmers are used to produce high value-added products: biodiesel and protein additives“, – Minister of Agriculture Kęstutis Navickas said at the ceremony of burying the capsule for future generations.

By the end of 2025, these two projects will make the company an equal competitor to major European companies and solve the problem of residual odour.

The construction of a brand new rapeseed processing plant has started in the vicinity of the existing infrastructure of „Mestilla“. The €50 million project will increase the company's rapeseed processing capacity to 500,000 tonnes per year, biodiesel production to 200,000 tonnes and rapeseed protein additives production to 300,000 tonnes per year. This capacity will be 2-3 times larger than the current „Mestilla“ plant.

The current „Mestilla“ production lines, which have been in operation for almost two decades, will be substantially upgraded for the processing of used cooking oil and the production of advanced biofuels. This €10 million project will enable the production of 20-30,000 tonnes of advanced biofuels from used cooking oil, to be blended with conventional biodiesel.

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„It is very important that the added value remains in Lithuania. Particularly relevant is the recycling of used oil into second-generation fuels – this is a great example of circularity. All this will lead to the phasing out of fossil fuels. We hope that the biofuels produced in this plant will be used in Lithuania," said Minister Navickas.

Arūnas Zubas, Director of Mestilla“, said that this move by the company strengthens Lithuania's strategic energy and environmental goals, the country's agricultural sector and the economy as a whole.

„During the period of our activity in Lithuania, the quantity of rapeseed produced has increased 4-5 times, and the purchase prices 2-3 times. Today, every car's tank contains 7-10% of renewable Lithuanian energy, which provides jobs for thousands of farmers, replaces imported raw materials and keeps money in Lithuania. I am glad that our business goals are aligned with the state's most important interests, and that Klaipėda citizens will soon be able to be proud of yet another strategic energy independence facility," said Mr Zubas.

„Mestilla“ has been operating in Klaipėda FEZ since 2005.The company sells its products in Lithuania and the Baltic region, as well as in Scandinavia, Western Europe and other countries.