(Reuters) – Imperial Oil Ltd said on Thursday that it plans to invest C$720 million ($538.64 million) to construct a renewable diesel facility near its Strathcona refinery at Edmonton, Canada.
The facility will use low-carbon hydrogen produced with carbon capture, storage technology and locally sourced feedstock, the Canadian oil major said.
Imperial said the project, first announced in August 2021, would produce 20,000 barrels of renewable diesel daily, while the production is expected to start in 2025.
The company, which has a deal with Air Products and Chemicals Inc for low-carbon hydrogen supply, said it is looking for third parties for bio-feedstock supply.
($1 = 1.3367 Canadian dollars)
Reporting by Sourasis Bose in Bengaluru; Editing by Sherry Jacob-Phillips