A biodiesel supply agreement between BIOX Corporation and Shell Canada is touted as being a big benefit for both Canadian companies. This BIOX news release says the company will pipe biodiesel from BIOX’s Hamilton refinery to the adjacent Shell distribution terminal and will provide a market for the refinery’s 67 million liters (approximately 17.6 million gallons) of biodiesel while helping Shell meet its Canadian requirement of renewable energy content.

“This agreement provides Shell Canada access to a secure, stable supply of renewable content for our diesel with the most efficient logistics possible,” said Esther Atere, Shell Canada Business Development Lead. “As well, it will assist Shell Canada in achieving the federal mandate of 2% renewable content in diesel fuel and heating distillate oil requirements.”

“This agreement is a great example of how the renewable fuels industry can work with the petroleum industry,” said Kevin Norton, Chief Executive Officer of BIOX. “Shell is investing in its distribution terminal to blend renewable content in diesel and we are investing alongside them to deliver biodiesel in the most efficient manner possible, through a pipe across the property line.”

The pipeline connecting the two facilities is expected to be completed late this year.