January 26, 2023
BY Imperial
Imperial said today it will further help Canada achieve its net zero goals by investing about $720 million (USD $560 million) to move forward with construction of the largest renewable diesel facility in the country. The project at Imperial’s Strathcona refinery near Edmonton is expected to produce more than 1 billion liters of renewable diesel annually primarily from locally sourced feedstocks and could help reduce greenhouse gas emissions in the Canadian transportation sector by about 3 million metric tons per year, as determined in accordance with Canada’s Clean Fuel Regulation. Regulatory approval for the project is expected in the near term.
“Imperial supports Canada’s vision for a lower-emission future, and we are making strategic investments to reduce greenhouse gas emissions from our own operations and to help customers in vital sectors of the economy reduce their emissions,” said Brad Corson, Imperial chairman, president and CEO. “The investment at our Strathcona refinery will deliver immediate benefits to the local economy creating jobs and contributing to a lower-emission energy future for our employees, neighbors and communities.”
Advertisement
The renewable diesel project was first announced in August 2021, with the Province of British Columbia supporting this project through a Part 3 Agreement under the BC low carbon fuel standard. A significant portion of the renewable diesel from Strathcona will be supplied to British Columbia in support of the province’s plan to lower carbon emissions. Imperial also intends to use renewable diesel in operations as part of the company’s emission reduction plans.
Imperial’s renewable diesel facility will use low-carbon hydrogen produced with carbon capture and storage technology to help Canada meet low emission fuel standards. Imperial has entered into an agreement with Air Products for low-carbon hydrogen supply and is developing agreements with other third parties for biofeedstock supply. The low-carbon hydrogen and biofeedstock will be combined with a proprietary catalyst to produce premium lower-emission diesel fuel and will reduce greenhouse gas emissions relative to conventional fuels.
Advertisement
Site preparation and initial construction are underway. Renewable diesel production is expected to start in 2025. The project is expected to create about 600 direct construction jobs, along with hundreds more through investments by business partners.
BWC Terminals on April 22 celebrated the official completion of its expanded renewable fuels terminal at the Port of Stockton. The facility is designed to safely and efficiently transfer renewable diesel and biodiesel from marine vessels.
Repsol and Bunge on April 25 announced plans to incorporate the use of camelina and safflower feedstocks in the production of renewable fuels, including renewable diesel and sustainable aviation fuel (SAF).
Renewable Fuels Month highlights the importance of renewable biofuels, such as ethanol and biodiesel. The month of May marks the beginning of the summer driving season, making it an ideal time to fuel up on clean and cost-saving biofuels.
PBF Energy on May 1 announced that its St. Bernard Renewables facility produced approximately 10,000 barrels per day of renewable diesel during Q1, down from 17,000 barrels per day during the Q4 2024.
Germany-based Mabanaft on April 17 announced it started to supply SAF to airlines at Frankfurt Airport in January. The company said it will deliver more than 1,000 metric tons of SAF to the airport this year under the European SAF mandate.