Suncor to double ethanol capacity to 105 Mgy at Ontario plant

In Canada, Suncor Energy has received $25 million in assistance from the federal government as it invests $117 million in upgrading capacity of its St. Clair ethanol plant to 105 Mgy. The company said that it would commence construction this year and the plant will be complete by the end of 2009.he expansion is expected to be completed in September 2009, and will also receive $12.5 million in equity from small private investors. The project is the fourth to receive Canadian government support under the ecoABC initiative, along with IGPC Ethanol, North West Terminal and Western Biodiesel.

Canada background

Canadian Green Fuels announced that it had signed distribution contracts worth up to $20 million with FC Stone, a US-based commodities brokerage, for 10,000 tonnes of biodiesel and additional by-products. More on this story…

Premier Dalton McGuinty said that Ontario will reconsider a previously announced move to a 10 percent biofuels mandate in light of rising food prices and the controversy over ethanol. The province has had a five percent mandate in place since January 2007. More on this story…

A study by a University of Guelph researcher concluded that first generation biofuels are up to seven times more expensive than other methods to reduce greenhouse gas emissions, while second-generation biofuels are not economical to produce. More on this story…

The Canadian Renewable Fuels Association said that Canadian biofuel capacity would reach 265 Mgy this year with production at 238 Mgy. Production capacity will increase to 350 Mgy in 2009, the group said. More on this story.

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