2G BioChem announces plans to build $20M biorefinery in Sarnia, Ont.
Production of Xylitol to begin in 2018.
VANCOUVER — S2G BioChem, a developer of natural biotechnology conversion processes, has started work on the company’s first standalone biorefinery demonstration plant that it intends to build in Sarnia, Ont.
The commercial-scale facility will refine local, sustainable forestry and agricultural residues to produce the low-cost food ingredient xylitol, a natural, low-calorie sweetener, while co-producing value-add bioglycols for consumer, industrial and packaging and products.
The biorefinery demonstration plant, projected to cost $20M, will be funded by S2G and a network of investors and partners, including support from food giant Mondelēz International.
Funding will be provided by Bioindustrial Innovation Canada’s (BIC) Commercialization of Sustainable Chemistry Innovation fund (COMM SCI), which acts as a hub for commercialization of sustainable chemistry and bio-based innovation, providing business and technical support to participating SMEs.
The S2G facility is considered a major advance in biorefinery development in Canada, with capacity to produce over 2,000 MT/year of high-value xylitol and coproducts utilizing a range of feedstocks from forestry and agricultural residues.
Basic engineering for the facility is underway and construction is expected to begin in 2018. The build-out and operation of the facility is projected to create 13 permanent jobs with more required during construction and testing.