Shell Canada Invests In Enerkem Low-Carbon Fuels Plant

Jan. 22, 2021
Shell Canada signs commercial agreements to invest in Varennes Carbon Recycling, the first waste to low-carbon fuels plant in Québec, Canada.

Shell Canada signs commercial agreements to invest in Varennes Carbon Recycling, the first waste to low-carbon fuels plant in Québec, Canada. Shell will have a 40% interest in the plant using technology developed by Enerkem, a leading Canadian clean tech company. Enerkem announced the project in December 2020, subject to finalization of commercial agreements.

The approximately C$875 million commercial-scale facility will be constructed in Varennes, Québec and will produce low-carbon fuels and renewable chemicals products from non-recyclable waste using Enerkem’s proprietary technology. Commissioning of the first phase of the facility is scheduled for 2023. Critical investment in the plant comes from Shell, Enerkem, Suncor, Proman and Hydro-Québec, as well as from the Québec and Canadian governments.

“Building a commercial-scale low-carbon fuels plant is one of the ways Shell is advancing cleaner fuels and evolving to meet the changing expectations of our customers,” says Michael Crothers, Shell Canada President and Country Chair. “Canada is well suited to capitalize on the energy transition thanks to the ingenuity of Canadians and our willingness to work together. We’re grateful for the collaboration between industry and government that has been instrumental in making this project a reality.”

Once completed, the plant will treat more than 200,000 tons of non-recyclable waste and wood waste per year with an annual production of nearly 125 million liters of low carbon fuels, according to Shell. In addition to diverting waste from landfill sites, the Varennes Carbon Recycling plant will reportedly expand the overall supply of alternative fuels and increase low-carbon fuels production in Quebec and accelerate greenhouse gas reduction in the transportation sector.

For more information, visit: www.shell.com

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