Canadian waste-to-biofuels company Enerkem has secured C$37m ($37.5m) in financing to support the construction of its Alberta Biofuels plant in Edmonton.
The company offloaded a stake in its facility to Waste Management of Canada Corporation, a subsidiary of Waste Management and EB Investments to secure the funds required.
Enerkem president and CEO Vincent Chornet remarked that the investment from Waste Management is a validation of its business model.
"We’re glad to see Waste Management and EB Investments strengthen their relationship with us by increasing their direct investment in the Edmonton facility", added Chornet.
Overall costs of construction are pegged at C$100m ($101.36m) and will also be supported by C$23.4m ($23.7m) in government grants, reported Bloomberg.
Enerkem spokeswoman Marie-Hélène Labrie told the news agency that the company will first produce methanol, which will be sold to Methanex, and begin ethanol production in 2014.
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By GlobalDataThe facility will produce renewable fuels and chemicals, prepared using non recyclable and non compostable waste from the city of Edmonton.
According to the company the under-construction facility is one of the first full-scale advanced biofuels plants in North America.
