Biofuel Startup GoodFuels Acquired by FinCo
The diversified petroleum distribution firm FinCo Fuel has acquired biofuel producer GoodFuels, the two firms announced Monday.
Netherlands-based GoodFuels is a leading supplier of bio-based bunker fuel for the shipping sector, notably a wood-derived HFO substitute it calls "bio-fuel oil." Prominent users and partners have included Boskalis, Norden, CMA CGM, Wärtsilä and Ikea. Biofuels have an advantage in the push for decarbonization because they can be used as a drop-in replacement for petroleum, without major modifications to diesel engines, bunker tanks, bunker barges or fuel distribution infrastructure.
GoodFuels' prominence in the biofuel market has grown quickly. Last March, the container ship CMA CGM White Shark took on GoodFuels' product during a call at the Port of Rotterdam, the world's first refueling of a boxship with sustainable biofuel. In September and October, the CMA CGM Alexander von Humboldt repeated the test on her North Europe-Asia rotation.
During the trial, GoodFuel's sustainable bio-fuel oil was used in a blend with conventional marine fuel to power the von Humboldt on a major oceangoing route. The partners said that the test showed technical compatibility between the bio-based and traditional petroleum-based fuel products and demonstrated the viability of advanced biofuels.
In a statement, GoodFuels said that its acquisition by FinCo will give it access to additional sourcing, supply management and logistics expertise.
“In FinCo Fuel Group we find a partner who will support us in maintaining and growing our position in this vital market and who understands and respects our impact driven sustainable DNA," said Dirk Kronemeijer, CEO of GoodFuels. "The need for positive, progressive and proven sustainability solutions has never been greater across these sectors, which must now strive for full decarbonization."
“With this acquisition, FinCo Fuel Group is sending a clear signal about our ambition and commitment towards supporting the sustainable mobility transition," said Pieter Peeters, CEO, FinCo Fuel Nederland. “GoodFuels has led the sustainable fuel market for shipping and is an important pioneer across other transportation sectors . . . With our strengths and deep network we can further support the GoodFuels brand with its continued evolution.”