As we move toward a prosperous, low-carbon economy, Canada is supporting sustainable and innovative tools and technologies that make the best possible use of our resources. By leveraging existing strengths and deploying state-of-the-art technologies in our forest sector, we can lower emissions while simultaneously increasing efficiency, enhancing competitiveness and creating sustainable jobs.
Today, the Honourable Jonathan Wilkinson, Minister of Natural Resources, announced a $10 million contribution to BioLesna Carbon Technologies LP, a joint venture between BC Biocarbon and Dunkley Lumber Ltd., for a new biorefinery in Carrot River, Saskatchewan. The contribution comes through the Investments in Forest Industry Transformation (IFIT) program, which aims to support Canada's forest sector resilience through targeted investments in advanced technologies and products.
The Carrot River Biorefinery will utilize BC Biocarbon's proprietary processes to convert residual biomass from forest operations to produce four initial products: biochar, bio-oil, wood vinegar and pyrolysis gas. These materials can then be further refined into value-added products such as soil additives, filtration media, electrodes and specialty chemicals. Based on the project's ability to substitute products derived from non-renewable sources and the carbon sequestration capacity of the biochar produced, carbon removal credits may also be generated.
Through this project, BioLesna Carbon Technologies LP will create local employment for the Carrot River community and surrounding areas. The Carrot River Biorefinery will also contribute to increased scale-up production and monetization of low-grade feedstock, as well as improve the utilization of forestry-based residuals and increase the diversity of forest products.
The Investments in Forest Industry Transformation program facilitates the adoption of transformative technologies and products by bridging the gap between development and commercialization. The IFIT program aims to create a more competitive and resilient forest sector with a focus on low-carbon projects that result in new or diversified revenue streams.
Through investments just like this, Canada is supporting and diversifying our forest sector in the implementation of more sustainable solutions and technologies that will increase competitiveness, drive growth, lower emissions and grow the economy.
