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November 15, 2011

 

ADM to build largest biodiesel canola plant in Canada

 

 

Archer Daniels Midland Co, announced on Monday (Nov 14), that it would be building the largest biodiesel plant in Canada as the country aims to meet its ambitious mandate for increasing renewable content in fuels.

 

The 265 million litre (70 million gallon) plant at Lloydminster, Alberta, would crush canola, Canada's second-biggest crop after spring wheat, and boost ADM's North American biodiesel production capacity by 50%.

 

"The same agricultural processing operations we use to transform canola into oil for food and meal for animal feed also provide ADM with the ability and scale to efficiently produce cleaner-burning, renewable biodiesel," said Mike Livergood, ADM vice president of global oleo chemicals, in a statement. "This new biodiesel facility will help support canola crush margins and capacity utilisation at this facility."

 

The plant would dwarf other existing Canadian biodiesel plants, most of which are located in Eastern Canada and owned by companies such as BIOX Corp and Rothsay Biodiesel, according to the Canadian Renewable Fuels Association.

 

ADM said it would start building the facility in spring 2012 next to ADM's canola-crushing facility in the western province, aiming for completion in the fourth quarter of 2013.

 

Since July 1, 2011, all diesel fuel and heating oil sold in Canada must contain at least 2% biodiesel, under a mandate from the Canadian government.

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