Enerkem secures $37.5m funding for ethanol production facility in Edmonton
Canadian company Enerkem has secured C$37m ($37.5m) in funding from Waste Management of Canada, a subsidiary of Waste Management Inc., and EB Investments.
The funds will be employed for the construction of Enerkem's Alberta Biofuels facility with the investors set to pick up a stake in the facility in exchange of the funding.
Enerkem president and CEO Vincent Chornet said that the partnership was a validation of the company's business model and standing in the market for waste-to-fuels and chemicals.
The total anticipated amount for the development of the plant is C$100m ($101.3m) and in addition to the funding will be met by C$23.4m ($23.7m) in government grants.
The Alberta facility will have an annual capacity to convert garbage from the city into 10 million gallons of ethanol.
Initially, the facility will produce methanol, which will be sold to Methanex, with ethanol production slated to begin in 2014.