Nearly two years ago, an LA-based company called Rentech Inc. announced plans to build a biofuels plant four hours north of Sault St. Marie, Ontario. It would use forest waste and “unmerchantable” tree species for making renewable jet fuel and naphtha, a chemical feedstock used to make all sorts of products. That plant was supposed to be operational in 2015. It was supposed to employ up to 1,000 people during peak construction, and keep 83 people directly employed full time in a region of the province that could really use those jobs.
Ain’t gonna happen, it seems.
The company put out a press release last night announcing that it is ceasing operations, reducing staff, and eliminating all R&D related to new technology development. And yes folks, I’m told that would includes its Ontario “Olympiad” project, which was to use a Fischer-Tropsch process to turn biomass into 85 million litres of green fuel annually. It means the deal Rentech signed with the Ontario government that gave it access to up to 1.1 million cubic metres of Crown timber is effectively dead wood. The question is whether those access rights will be transferred to one of the competing projects from local companies that bid against Rentech and lost.
It’s funny (or not so funny) how many grand announcements from government never actually come to fruition. This, in my view, could have been a good project. It’s a shame for the people living in that region. They could have used the economic boost.