Neste Oil Oyj, Finland’s only oil refiner, advanced the most in two months after increasing sales volumes of renewable fuel.
Neste Oil rose as much as 6.4 percent for today’s best performance among the 31 members of the BBG European Energy Index. The shares, which have gained 14 percent this year for a market valuation of 2.4 billion euros ($3.2 billion), traded at 9.20 euros as of 1:40 p.m. in the Finnish capital.
The European Union has set a goal to get 10 percent of its transport energy from biofuels, hydrogen and renewable power by 2020, in order to help cut the region’s emissions 20 percent from 1990 levels. Global renewables consumption will rise 8.2 percent a year in the next 20 years, outpacing the annual 2.1 increase for natural gas, the fastest-growing fossil fuel, BP Plc estimated in its annual outlook on Jan. 18.
“Renewable fuel sales volume was encouraging,” Henri Parkkinen, an analyst at Pohjola Bank Oyj in Helsinki, said by phone. “The company delivered what it promised in this area, keeping a positive outlook and strengthening belief” in renewable fuels.
Neste Oil’s fourth-quarter renewable diesel sales increased by 55 percent compared with the previous quarter. The company maintained its dividend at 35 euro cents a share for 2011, even as it reported a quarterly loss of 23 million euros, compared with the median estimate of eight analysts surveyed by Bloomberg for a profit of 19.3 million euros.