Canada, Manitoba give $2.9M to boost renewable transport fuels

Agriculture and Agri-Food Canada

Funding of design study for sustainable aviation fuel manufacturing facility supports local agriculture, sustainable decarbonization: Bibeau, Stefanson

The Canada and Manitoba governments are committed to enhancing the province's competitive advantages in leading-edge, value-added agricultural processing to support the development of renewable transportation fuel processing in Canada.

This new industry will position Manitoba as a hub for innovation and green, low-carbon technologies. The Canada and Manitoba governments are providing $2.9 million over two years to support Azure Sustainable Fuels Corp.'s Front End Engineering Design (FEED) study for a planned Sustainable Aviation Fuel (SAF) processing facility near Portage la Prairie, the Honourable Marie-Claude Bibeau, Minister of Agriculture and Agri-Food and Premier Heather Stefanson, announced today.

The facility's construction is anticipated to cost approximately $1.9 billion and will produce an estimated 1 billion litres per year of SAF, primarily using Canadian feedstock products such as canola and soybean oils. With Canada and Manitoba's support, the Azure project will create 1,500 construction jobs and approximately 150 direct permanent, highly specialized jobs once in production. The construction of the Azure facility is projected to have a total impact on the Manitoba economy of $2 billion. The first year of operations is expected to create more than $500 million in economic output and sustain hundreds of jobs throughout Manitoba.

Today's announcement ensures Manitoba is contributing to a low-carbon future while also benefitting Manitoba's agricultural producers. The feedstock demands of the fuel manufacturing facility create a secure, local market for Manitoba farmers and oilseed producers and an opportunity to advance ongoing efforts to further Manitoba's already world-class sustainable farming practices.

Azure is working closely with all stakeholders, including Indigenous communities and the Rural Municipality of Portage la Prairie, to adhere to and respect all environmental regulations and requirements, the Premier said.

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