Husky Energy to Build Second Ethanol Facility

Husky Energy will construct a second ethanol facility on the site of its existing plant at Minnedosa, Manitoba. With a planned production capacity of 130 million liters of ethanol per year, the new $145 million plant will use about 350,000 tons of wheat per year to produce 130 million liters of ethanol and approximately 126,000 tons of Distillers Dried Grains with Solubles (DDGS), a high protein, non-animal based livestock feed.

“The new ethanol plant will add further economic stability to the community, provide new jobs for our citizens as well as markets for local grain producers and a quality feed supply for livestock operations,” said Duane LaCoste, Mayor of Minnedosa. The proposed plant will replace the company’s existing 25-year-old, 10 million liters per year facility, and will be built using the latest technology and environmental control measures in the facility’s design including baghouses in the grain receiving and milling operations, state-of-the-art DDGS drying technology, and floating roofs on the ethanol storage tanks. The plant, scheduled to be fully operational mid-2007, is eligible for $10.4 million in funding from the Government of Canada’s Ethanol Expansion Program. “This new plant will aid Manitoba in its plan to expand the use of clean energy alternatives to reduce greenhouse gases and to bring new economic development to rural areas,” said Premier Gary Doer. This is Husky’s second initiative supporting Manitoba’s biofuel industry. In June, the company established a $1 million endowment at the University of Manitoba for research in biofuels, with a focus on ethanol. In addition, Husky, in conjunction with the University, is applying to establish a Natural Sciences and Engineering Research Chair (NSERC) for wheat feedstock and ethanol production technologies, which would enable Husky to make a further contribution of $375,000 per year for five years to the University.
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