Imperial Oil has announced plans to invest C$720 ($538.64 million) million in the construction of Canada's largest renewable Diesel facility at its Strathcona refinery near Edmonton, Alberta. This facility is expected to produce 20,000 barrels per day by 2025 when it will receive regulatory approval from the nearby government. With this investment, Imperial Oil is looking to lead the way in renewable energy for Canada's future.

Imperial is making a major effort to reduce greenhouse gas emissions with their renewable Diesel production facility. Using low-carbon hydrogen and biofeedstock combined with a proprietary catalyst, the facility is slated to reduce emissions by 3 million tons a year in comparison to conventional fuels.

Air Products is supplying the carbon capture and storage technology for the low-Carbon Hydrogen production, while Imperial is seeking partnerships with third parties for biofeedstock supply. Vice President Jon Wetmore added that quick action has been taken to procure feedstock such as canola, which must first go through crush plants before being used.

"Early mover advantage does help, we're aware at some point there might not be enough crush capacity for all the renewable diesel projects being contemplated in Canada," Wetmore stated.

The project will be partially funded by credits provided through the British Columbia Low Carbon Fuel Standard and a "significant portion" of the diesel produced will be supplied to British Columbia, helping the province achieve its emissions reduction goals.

Construction at Imperial's is officially underway. This project is estimated to create over 600 direct job opportunities and provide a huge economic boost to the local community. The news has been met with enthusiasm, sending shares of Imperial up 1.3% on the Toronto Stock Exchange.