MOSCOW (MRC) -- Varennes Carbon
Recycling, the landmark waste to biofuels plant in Varennes, Quebec, has now
reached financial close, with investment agreements signed by Proman and its
partners, Shell, Suncor, the Government of Quebec, and Enerkem, said Hydrocarbonprocessing.
As
part of the investment agreement, Proman will be entitled to market the methanol
produced from the plant, which, once the plant is in operation, could make
Proman the largest marketer of bio-methanol globally.
The plant is
expected to ramp up to a production level of 100,000 tons of bio and circular
methanol per year, using Enerkem’s proprietary technology to convert
non-recyclable waste into sustainable methanol, which can then be converted to
other low-carbon biofuels such as ethanol and gasoline.
This method
produces fuels with substantially less carbon intensity when compared to
conventional fossil fuels, as well as ensuring that waste materials are recycled
rather than being placed into landfill or burned. The bio-methanol produced has
a wide range of possible applications in ground transportation, power generation
and industry as well as a viable alternative marine fuel.
Proman’s Chief
Executive, David Cassidy, said of the project: "Bio-methanol has enormous
potential as our economies continue to decarbonise. Proman is committed to using
our expertise in the methanol market and our unique integrated value chain to
serve our customers’ evolving needs and contribute towards meeting global
sustainability targets. Proman’s marketing, logistics, and operational
experience is a perfect complement to Enerkem’s world-leading technology, and we
look forward to working with all the project partners to making this innovative
waste-to-low carbon fuels plant a great success."
The investment in
Varennes Carbon Recycling marks Proman’s first investment in Canada. David
Cassidy added: “We are excited to be a part of this partnership with the
Canadian and Quebec governments and, thanks to Canada’s vision and leadership in
sustainable energy, we hope it will be the first of many initiatives for Proman
in Canada. We look forward to continuing our partnerships with the public and
private sectors in Canada and globally to develop sustainable energy projects
and reduce reliance on fossil fuels."
As per MRC, UPM (Helsinki, Finland)
says it has
started basic engineering and commercial studies for a potential 500,000-metric
tons/year biofuels refinery, to be located in either Finland or the Netherlands,
and is also under way with construction of a previously announced EUR550-million
(USD667 million) biochemicals plant in Leuna, Germany.
Ethylene and
propylene are feedstocks for producing polyethylene (PE) and polypropylene
(PP).
According to MRC's ScanPlast report,
Russia's estimated PE consumption totalled 2,220,640 tonnes in 2020, up by 2%
year on year. Only shipments of low density polyethylene (LDPE) and high density
polyethylene (HDPE) increased. At the same time, polypropylene (PP) shipments to
the Russian market reached 1 240,000 tonnes in 2020 (calculated using the
formula: production, minus exports, plus imports, exluding producers'
inventories as of 1 January, 2020). |