Shell acquires exclusive rights to SBI BioEnergy’s biofuel technology

In Canada, Royal Dutch Shell acquired exclusive development and licensing rights for SBI BioEnergy’s biofuel technology. Edmonton-based SBI has a patented process that can convert a wide range of waste oils, greases and sustainable vegetable oils into lower carbon drop-ins for diesel, jet fuel and gasoline.

“SBI has a promising new Canadian biofuels technology,” says Andrew Murfin, General Manager, Advanced Biofuels for Shell. “This is a great opportunity for us to combine Shell’s innovation and commercialization capabilities with SBI’s technical expertise to investigate the potential this technology has for commercial application.”

SBI uses a continuous catalytic process that converts fat, oil or grease into renewable gasoline, diesel and jet fuel that can be dropped directly in to petroleum fuels. SBI’s drop-in products do not require blending or any modifications to engines or infrastructure. Biofuels emit less CO2 than petroleum products so their addition to fuels has the potential to reduce transport emissions and help fuel suppliers to meet lower carbon or renewable fuel standards.

SBI’s progress towards commercialization had slowed in recent months. We reported in March 2016 that SBI was preparing to open its drop-in renewable diesel and aviation jet fuel facility later that year. The demo facility near Edmonton will produce 10 million liters annually, which will be commissioned by year’s end, while a C$20 million commercial scale facility would be online by 2018 producing 240 million liters annually, the company said at the time.

Under the agreement, Shell and SBI will work together to demonstrate the potential of the technology and, if successful, scale up for commercial application.

“We are confident that Shell is the right industry partner to commercialize our low carbon intensity renewable fuel process,” says Inder Singh, SBI’s Founding President & CEO. “Working with Shell means that we have a partner with proven capabilities to investigate the potential this technology has for global application and that is something that is very exciting for us.”