Canada gives Suncor preliminary approval for ethanol facility funding

Feb. 16, 2004
Under Canada's Natural Resources Canada ethanol expansion program, the government has given Suncor Energy Products Inc. wholly owned subsidiary of Suncor Energy Inc., Calgary, preliminary approval for a $22 million contribution towards the construction of an ethanol production facility in the Sarnia, Ont. area.

By OGJ editors

HOUSTON, Feb. 16 -- The Canadian government, under its Natural Resources Canada ethanol expansion program, has given preliminary approval to fund $22 million toward construction of a $120 million ethanol production facility to be built at Sarnia, Ont. by Suncor Energy Products Inc., a wholly owned unit of Suncor Energy Inc., Calgary

The plant would be capable of producing more than 200 million l./year of ethanol, which would be blended into Sunoco gasoline. Should the project receive final approvals, construction would begin by midyear and complete by mid-2006.

Meanwhile, planning, design, engineering, and stakeholder consultation will continue as Suncor and the federal government finalize terms of the agreement.

Sunoco, with gasoline containing 10% ethanol, is one of the few Canadian retailers and the only major gasoline retailer to sell ethanol-blend gasoline in Ontario.