The Media Room

Natural Resources Canada

2009/64

June 19, 2009


Government of Canada Invests in Johnstown Ethanol Plant

JOHNSTOWN, ONTARIO - Thanks to investments by the Government of Canada, GreenField Ethanol’s Johnstown facility will receive up to $117.5 million over seven years to support biofuels development. Gord Brown, Member of Parliament for Leeds–Grenville, on behalf of the Honourable Lisa Raitt, Minister of Natural Resources, and the Honourable Gerry Ritz, Minister of Agriculture, made the announcement today.

“Our Government is delivering results for families, farmers and businesses in Johnstown,” said Mr. Brown. “This funding will build market demand for agricultural products and create economic opportunities in our community while contributing to a healthier environment for all Canadians.”

GreenField Ethanol’s Johnstown facility will be receiving up to $110.2 million over seven years through Natural Resources Canada’s ecoENERGY for Biofuels program. This program provides an operating incentive — based on production levels — to Canadian producers of renewable alternatives to gasoline and diesel.

GreenField will also be receiving $7.3 million in repayable funding through Agriculture and Agri-Food Canada’s ecoAgriculture Biofuels Capital (ecoABC), a $200-million initiative to increase Canadian renewable fuels production capacity and help farmers participate in this emerging market opportunity. Local farmers are investing a total of $8 million in this project, which will provide them with a new source of revenue and also broaden the economic base of the community.  

Compared to gasoline, grain-based ethanol can reduce greenhouse gas (GHG) emissions by up to 40 percent on a life-cycle basis. For biodiesel, the emissions reduction can be as much as 60 percent.

“These investments will help GreenField Ethanol in our committed vision to help broaden Canadian's fuel choices through the use of innovative technologies and disciplined leadership,” said Robert Gallant, President and CEO of GreenField. “Not only will these investments strengthen the Johnstown community by supporting our plant facility, by saving jobs and by creating economic growth, they will also ensure an ongoing market for local area farmers.”

The ecoENERGY program will invest up to $1.5 billion over nine years to encourage a competitive renewable fuels industry in Canada. The Government of Canada is also creating new economic opportunities through the five-year $1-billion Clean Energy Fund and the $1-billion Green Infrastructure Fund, part of the Government’s Economic Action Plan.  


FOR BROADCAST USE:

The Government of Canada is providing up to $117.5 million over seven years in new funding to an ethanol plant in Johnstown, Ontario. M.P. Gord Brown says the new investment will help create local jobs and economic opportunities for farmers and local businesses as well as provide cleaner fuels to reduce Canada’s greenhouse gas emissions.

Media may contact:

Jocelyne Turner

Press Secretary

Office of the Minister

Natural Resources Canada

Ottawa

613-996-2007

Or

Megan Johnson

Communications

GreenField Ethanol

416-304-1700 ext. 8431
m.johnson@greenfieldethanol.com

Or

Meagan Murdoch

Press Secretary

Office of the Honourable Gerry Ritz

613-759-1059

Or

Media Relations

Agriculture and Agri-Food Canada

Ottawa, Ontario

613-759-7972

1-866-345-7972

NRCan's news releases and backgrounders are available at www.nrcan.gc.ca/media/index-eng.php.

AAFC’s news releases are available at http://www.agr.gc.ca/cb/index_e.php.