Refuel Energy Inc. (Refuel) will construct a 3000 barrels per day renewable fuel plant in Southern Ontario, Canada. The proposed project, called Refuel YYZ, would supply the aviation and terrestrial fuel needs of the Greater Toronto area, home to 6 million Canadians, while lowering the CO2 emissions for the end users by up to 80%. It is also strategically located for exporting to the US Northeast.
Canadian company Enerkem, a world leader in the production of low-carbon intensity biofuels and circular chemicals from waste materials, closed a new financing totaling $255 million. Repsol invests $170 million, of which $75 million is in Enerkem’s equity and $95 million in convertible debt. In doing so, Repsol joins existing shareholder Suncor Energy as a strategic shareholder to accelerate the adoption and deployment of Enerkem’s technology and to develop new projects in the Iberian Peninsula (Spain and Portugal). In addition, Monarch Alternative Capital, a new investor, is contributing $30 million to the round while Avenue Capital Group is reinvesting $30 million, both in convertible debt. Finally, there is $25 million reinvested in equity by some existing shareholders.
Enerkem, a world leader in the production of biofuels from waste materials based in Canada, achieved a major breakthrough in converting carbon from forest biomass into sustainable aviation fuel (SAF) using its proprietary thermochemical process. This important milestone was achieved at Enerkem’s Innovation Centre in Westbury, Quebec. It will be followed by the demonstration phase, which will lead to commercialization in the near future. This research is part of The Sky’s the Limit Challenge organized by Natural Resources Canada and for which Enerkem was selected as a finalist.
Canadian Enerkem, with a group of strategic partners, that include major investor Shell, along with Suncor and Proman and Hydro-Québec supplying green hydrogen and oxygen, and with the support of the Québec and Canadian governments, will build a biofuel and renewable chemicals plant in Varennes, in the Greater Montréal area.
Varennes Carbon Recycling (VCR) will produce biofuels and renewable chemicals made from non-recyclable residual materials as well as wood waste. The plant will leverage green hydrogen and oxygen produced through electrolysis, transforming Quebec’s excess hydroelectricity capacity into value-added biofuels and renewable chemicals. VCR will be a major creator of quality local direct and indirect jobs during its construction and operation.
Two Canadian companies will collaborate on innovative technology to close the loop on recycling and drive a plastics circular economy. Nova Chemicals, a leading producer of chemicals and plastic resins, and Enerkem, a world-leading waste to renewable fuels and chemicals producer, have entered into a joint development agreement to explore turning non-recyclable and non-compostable municipal waste into ethylene, a basic building block of plastics.
Canada has its own bioeconomy strategy. Canada’s first national Bioeconomy Strategy released yesterday by Bioindustrial Innovation Canada, reflects the views of more than 400 industry representatives from across the country.
Large research infrastructures, a chemical and paper industry supporting a sector that is considered strategic, clusters that are able to build extended value chains, universities at the level of excellence and a federal government and provinces with a vision and an effective action plan. These are shortly all the strengths of the bioeconomy in Canada, as I saw them last week.
BioAmber Inc. filed a voluntary petition for relief under chapter 11 of the United States Bankruptcy Code and that its two Canadian subsidiaries, BioAmber Sarnia Inc. and BioAmber Canada Inc., filed a Notice of Intention to make a proposal under the Bankruptcy and Insolvency Act (Canada), with a view to strengthening the company’s financial health and solidifying its long-term business prospects.
Comet Biorefining, the Canadian company focused on the production of high-purity cellulosic dextrose, completed a round of equity financing led by new investor PM Equity Partner. Current investor Sofinnova Partners and new investor Bioindustrial Innovation Canada (BIC) also participated in the financing, whose terms were not disclosed.
Bioindustrial Innovation Canada (BIC) has launched the creation of the $27 million Centre for Commercialization of Sustainable Chemistry Innovation (COMM SCI) through a $12 Million non-repayable contribution from the Federal Economic Development Agency for Southern Ontario’s (FedDev Ontario) Investing in Regional Diversification (IRD) initiative, a $3 Million grant from the Province of Ontario and a minimum $12 Million in matching contributions from BIC and their partners.