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ADM to build 70 Mgpy canola biodiesel plant in Canada

Archer Daniels Midland Company will build a 265 million liter (70 million gallons US) biodiesel plant in Lloydminster, Alberta, Canada, which will increase ADM’s North American biodiesel production capacity by 50%. Worldwide, ADM currently has an annual biodiesel production capacity of 1.7 billion liters (450 million gallons).

(ADM also has an annual ethanol production capacity in the US of 6.8 billion liters (1.8 billion gallons).

The biodiesel plant will be located adjacent to the company’s existing canola crushing facility in Lloydminster which will help optimize ADM’s agricultural origination, transportation and processing assets in Canada.

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. This new biodiesel facility will help support canola crush margins and capacity utilization at this facility.

—Mike Livergood, ADM vice president, global oleo chemicals

Biodiesel produced at ADM’s facility in Lloydminster will help fulfill Canada’s renewable diesel mandate. Since 1 July 2011, all diesel fuel an d heating oil sold in Canada must contain at least 2% biodiesel.

Construction on the facility will commence in spring 2012, and be completed in the fourth quarter of calendar year 2013.

In March, ADM announced plans to double the canola seed receiving capabilities and storage capacity at the Lloydminster facility. The project, which is expected to be completed by the end of the calendar year, includes the construction of five new storage bins and a second receiving system, which is expected to significantly reduce unloading times for area farmers.

In Canada, ADM sources, stores, transports and processes crops such as wheat, cocoa and oilseeds at a total of 24 facilities. These operations include wheat mills and bakery mix plants; oilseeds crushing plants and refineries; cocoa processing facilities; grain elevators; and plants that blend fertilizer and manufacture animal feed and feed ingredients.

ADM operates two oilseeds processing facilities in Canada. The Windsor, Ontario, plant crushes soybeans and canola for use in various food ingredients and animal feeds. The plant is served by two grain elevators and two grain procurement offices, and a Montreal sales office helps market its products. In Lloydminster, Alberta, ADM crushes canola and exports much of the resulting oil to Asia for food applications, and to Europe for use as a biodiesel feedstock. Canola meal is used principally for livestock feed. ADM’s Lloydminster plant is served by elevators in Watson and Carberry.

Comments

Engineer-Poet

More food into fuel.

HarveyD

Yes E-P this is one more very questionable decision, specially for Canada with a huge oil reserves/surplus, i.e. more than enough for the next 100+ years or until electrified vehicles have replaced ICE units.

This a copy cat policy based on USA's needs to replace/reduce crude oil import.

Reel$$

Actually it is oilseed into fuel. The tiny comparative use of canola for biodiesel is unimpressive. And it is a renewable feedstock. i.e. Sustainable.

HarveyD

Meanwhile 100,000,000 + people (mostly children) are starving or do not have enough to eat.

Using edibles to produce liquid fuels for our gas guzzlers in Canada is not justified and does not make common sense.

Using agriculture-forest and industrial-domestic wastes would be more acceptable.

SJC

Using farmland waste is fine, but using food crop land for fuel crops is a question. Marginal land not used for food crops could be possible for fuel crops.

Reel$$

"Those who believe there is not enough - will not have enough."

Engineer-Poet

If you needed any more proof that Reel's schtick is wish-fulfillment fantasy, there you have it. If you make an engine that runs by burning gold, you will not have enough to run society. Believing otherwise won't change the facts.

Canola is a specially-bred strain of rapeseed, with a low content of toxic erucic acid to make it edible. It's not terribly productive and requires lots of nitrate fertilizer. This both consumes lots of input energy and pollutes runoff water. The use of canola for fuel should be discouraged; if there is a problem with excess production, fertilizer application rates and timing should be restricted by law to minimize runoff and also reduce yields to what the market can absorb.

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