Arbios Biotech (Arbios), the joint venture between Australia headed bioprocess technology developer Licella Holdings Ltd (Licella), and Canada-headed forest industry major Canfor Corporation (Canfor), has made the final investment decision to proceed with the development of commercial-scale biomass to biocrude plant in Prince George, British Columbia (BC), Canada. Scheduled to start production in the first half of 2023, the plant is to be built on Canfor’s Intercontinental pulp mill site.
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The plant will use Licella’s pioneering “Cat-HTR” hydrothermal liquefaction (HTL) technology, which according to Licella, is a powerful decarbonization platform that produces high-value, low-carbon products, such as renewable transportation fuels and biochemicals. The value of the investment decision has not been disclosed.
Third commercial Cat-HTR project
Building upon the recent commissioning of the Cat-HTR Commercial Stage 1 (CS-1) facility on the New South Wales (NSW) Central Coast in Australia, the Arbios facility represents the third fully funded commercial-scale project on foot with the Cat-HTR technology at its core.
This solidifies the Cat-HTR’s position as the world-leading HTL technology. The technology continues to be validated at the highest level by partnerships with Mitsubishi Chemicals and KBR (through global plastic licensee Mura Technology) and a global alliance with Shell Catalyst and Technologies, which have recognized the quality and ease of upgrading of our biocrude. We are delighted to work with other global pioneers like Canfor, who have through this investment shown their commitment to being at the forefront of the low-carbon circular economy globally, said Dr Len Humphreys, CEO, Licella.
The Arbios plant will initially proceed with one processing line which will convert 25 000 dry tonnes of sawmill residues, primarily bark, to over 50 000 barrels of biocrude per year.
Scheduled to start producing biocrude in the first half of 2023, the plant is planned to be built on a portion of Canfor’s Intercontinental Pulp Mill site in Prince George.
Built-in expansion capacity
Arbios will have the potential to expand with up to an additional three processing lines within the existing footprint. Canfor is committed to funding this phase of the project, underscoring the company’s commitment to playing a leading role in the transition to the low-carbon economy the world wants and needs.
As part of our sustainability journey, Canfor is committed to growing our business to include bio-materials and bio-innovation to support a low-carbon future. Our decision, as part of the Arbios joint venture, to support investment in state-of-the-art biomass to low carbon biofuel plant in British Columbia is a demonstration of our commitment. We are also building a Bio-Innovation team that will unlock the full value of each log by developing and commercializing new opportunities, said said Don Kayne, President, and CEO, Canfor refering to Canfor’s new sustainability goals that were also announced with the Arbios investment decision.
As an important step towards increasing availability of low-carbon transportation fuels, the project is receiving strong support from both federal and provincial government programs, including the issuance of credits under BC’s Greenhouse Gas Reduction (Renewable and Low Carbon Fuel Requirements) Act; the Sustainable Development Technology Canada Fund; and the BC Ministry of Energy and Mines and Low Carbon Innovation’s Innovative Clean Energy Fund.
