MOSCOW (MRC) -- ExxonMobil announced its majority-owned affiliate, Imperial Oil Ltd, will invest about USD560 million to move forward with construction of the largest renewable diesel facility in Canada, said the company.
The project at Imperial’s Strathcona refinery is expected to produce 20,000 barrels of renewable diesel per day primarily from locally sourced feedstocks and could help reduce greenhouse gas emissions in the Canadian transportation sector by about 3 million metric tons per year, as determined in accordance with Canada’s Clean Fuel Regulation. The facility is a part of the corporation’s plans through 2027 to invest approximately USD17 billion in lower-emission initiatives.
Imperial’s renewable diesel facility will use low-carbon hydrogen produced with carbon capture and storage technology to help Canada meet low emission fuel standards. Imperial has entered into an agreement with Air Products for low-carbon hydrogen supply and is developing agreements with other third parties for biofeedstock supply. The low-carbon hydrogen and biofeedstock will be combined with a proprietary catalyst to produce premium lower-emission diesel fuel and will help reduce greenhouse gas emissions from the transportation sector, relative to conventional fuels.
Site preparation and initial construction are underway. Renewable diesel production is expected to start in 2025. The project is expected to create about 600 direct construction jobs, along with hundreds more through investments by business partners.
We remind, ExxonMobil Corp said operations at its Baytown, Texas refining and petrochemical complex were normal on Wednesday following severe storms including at least one tornado on Tuesday. Sources familiar with plant operations said the 560,500 bpd refinery was operating at planned rates on Wednesday, but the small gasoline-producing fluidic catalytic cracker (FCC), a catalytic light ends unit and an alkylation unit were shut for an overhaul planned before the storms.