Supporting Businesses

1

Maintain our position in supporting businesses

• Play a key role in the portfolio but significant growth is not expected

Supporting businesses

BiodieselRefining

Complementary businesses( Base oils, Gasoline components )

Refining the future

The leading provider of cleaner traffic fuels

Supporting businesses ( Retail & Shipping )

Excellent operational and financial performance

Supporting BusinessesOil RetailMatti PeitsoExecutive Vice President

3

Strong retail position

76 Poland

Neste Oil Retail

• The leading petroleum products marketer and distributor in Finland

• Important player in the growing markets in Baltic Rim including the St. Petersburg area

• Approx. 1,100 retail outlets, of which ~80% in Finland

37 Estonia

35 Latvia

33 Lithuania

37 St.Petersburg

880 Finland1)

Sweden

Norway

Belarus

Denmark

1) including D-stations and sales points

4

Several advantages to leverage

Source: Finnish Oil and Gas Federation

0%

20%

40%

60%

80%

100%

Gasoline Diesel Heatingoil

Heavyfuel oil

27%41% 38%

54%

Neste Oil market share

Competitor market shares

Our retail advantage

• Market leader in all main product categories in Finland

• Most recognized retail brand in Finland

• Strongest brand in the St. Petersburg area

• An important channel for– Testing new product

innovations– Launching new products– Collecting market data

Retail market shares in Finland 2005

5

Neste Oil's retail network in Finland

Note: 08/2006

Unmanned stations D-stations

Dealer owned, Dealer operated

Company owned, Dealer operated

190 323

274 93

6

Focus on operational and asset related improvements

Focus areas

• Improving operational and capital efficiency

• Optimizing current network

• Increasing usage of automation and technology

• Streamlining the asset base

7

• A significant player in the Baltic Rim – especially in the St. Petersburg area

• Growing market with healthy margins

• We continue to grow in this market

Baltic Rim sales volumes 2005

Footprint in attractive growth markets

0

200

400

600

800

1 000

1 200

2001 2002 2003 2004 2005

Gasoline Diesel Fuel Heating Oil

1,000 m3

Notes: Baltic rim = Estonia, Latvia, Lithuania, Poland, St. Petersburg area. Figures include both direct sales and sales through retail network.

Retail positionoutside Finland

Supporting BusinessesShipping Risto NäsiExecutive Vice President

9

Shipping supports our growth strategy

Security of supply and exports, especially

winter time

Capability to schedule crude supply and product exports

Leverage scale benefits by using larger cargo

sizes

Shipping plays an important role in our

growth in refining and biodiesel

10

Successful risk management in growing market

0

5

10

15

20

25

30

35

40

1998 1999 2000 2001 2002 2003 2004 2005 2006

Time charter Bareboat Own

Neste Oil Shipping fleet split by categoriesOur shipping flexibility• Flexible portfolio

– increasing role of time chartervessels

• Port calls: 3721 calls last year

• Young fleet compared to European average (10 years)– Own vessels below 2.5 years– T/C vessels below 6 years

• More than 40 million tons of cargo transported annually (50% for Neste)

• Operations in Baltic Sea, North Sea and Intercontinental routes

Number of ships

11

0

10

20

30

40

50

60

70

80

Commoditization of the Baltic tanker market

0

100

200

300

400

500

600

jan-04 jul-04 jan-05 jul-05 jan-06 jul-060,0

1,0

2,0

3,0

4,0

5,0

6,0

Monthly Crude freight rates (Primorsk/NWE), WSMonthly Russian oil exports from Primorsk, Mt

WS Mt

Shipping freight rates & Russian oil export from Primorsk

2002/03

2003/04

2004/05

2005/06

2006/07

2007/08

2008/09

Required number of shipsAvailable number of ships

Number of ships

Ice class capacity supply and demand

12

Multiple world-class achievements

Neste Shipping - achievements

• Condition of Ships: Best in the World (‘Port State Control’ Assessment)

• Standards: First to implement international standards within Shipping• Innovation: European Innovation Prize in tanker class• Improved safety: First ice-strengthened escort tugs• Quality of fleet: All vessels registered to the highest Finnish-Swedish

ice-class• Utilization rate: ~96 % average, one of the highest

13

Aim to remain the best service provider in the Baltic market

Neste Shipping – core competencies

• Deep knowledge of the business environment• Largest ice classed tanker fleet and experienced skillful personnel

operating regularly in ice conditions• Continuous upgrade and maintenance of professional skills• Continuous development of fleet to meet customer needs

14

We continue to follow the market developments closely

Neste Shipping – current developments

• Baltic seaborne trade growing fastest in the world• Tanker companies consolidating• Oversupply of ice classed vessels for Baltic trade• Exploring options – cooperation, partnering etc. (Stena, Tsakos)