Tag Archives: Suncor

Suncor backs Svante and its carbon dioxide capture technology

Suncor has backed the decarbonisation and hydrogen production ambitions of carbon capture technology company Svante, joining a number of firms in its latest equity raising.

Svante is looking to accelerate the commercialisation of its novel second generation CO2 capture technology, aiming to decarbonise industrial emissions and hydrogen production in North America. Its technology, Svante claims, captures carbon dioxide from flue gas, concentrates it, then releases it for safe storage or industrial use.

Combined, Suncor and a number of family office investors have invested $25 million of equity financing, bringing the total proceeds raised under Svante’s Series D financing to $100 million, completing what Suncor says is the largest single private investment into point source carbon capture technology globally to date.

Svante has now attracted more than $175 million in total funding since it was founded in 2007 to develop and commercialise its breakthrough solid sorbent technology at half the capital cost of traditional engineered solutions.

Claude Letourneau, President & CEO of Svante Inc, said: “Svante has generated a pipeline of potential new project opportunities capturing over 40 Mt of CO2/y before 2030 from natural gas industrial boilers, cement and lime, and blue hydrogen industrial facilities, mainly in North America and spurred by both US and Canada federal CO2 tax credits and prices on CO2 emissions.”

According to Mark Little, President & CEO of Suncor, “carbon capture is a strategic technology area for Suncor to reduce greenhouse gas emissions in our base business and produce blue hydrogen as an energy product. An investment in Svante is expected to support the acceleration of commercial-scale deployment of a technology that has the potential to dramatically reduce the cost associated with carbon capture. We are excited to become both an investor in and a collaborative partner with the company.”

Letourneau added on Suncor’s investment: “We are pleased to partner with a leading Canadian player in the energy industry, alongside existing investor Cenovus, and to benefit not only from their financial support but also their commitment to deliver low-carbon fuels and blue hydrogen to transform the energy system.”

Svante says its approach is tailored specifically to the challenges of separating CO₂ from nitrogen contained in diluted flue gas generated by industrial plants such as cement, steel, aluminium, fertiliser and hydrogen, which is typically emitted in large volumes, at low pressures, and dilute concentrations.

It uses tailor-made nano-materials (solid adsorbents) with very high storage capacity for carbon dioxide. It has engineered these adsorbents to catch and release CO₂ in less than 60 seconds, compared with hours for other technologies.

The company’s carbon capture technology consists of a patented architecture of structured adsorbent laminate (spaced sheets), proprietary process cycle design, and a rotary mechanical contactor to capture, release and regenerate the adsorbent in a single unit.

In January, Lafarge Canada, Svante and Total announced they had reached a major milestone at its Project CO2MENT, a first-of-its kind partnership to capture industrial levels of CO2 emissions from a cement plant. The multi-phase project celebrated the completion of Phase II construction to have the technology to capture and filter the CO2 from the flue gas. This was a crucial component to achieving the next stage of capturing CO2 flow at the Lafarge Richmond cement facility in British Columbia, Canada.

Suncor to move towards cloud-based computing with Microsoft Azure

Suncor has announced a multi-year strategic alliance with Microsoft Canada as a part of the company’s effort to further accelerate its digital transformation journey.

The oil sands miner has selected Microsoft as its “strategic cloud provider”, tapping into the full range of Microsoft’s cloud solutions to empower a connected and collaborative workforce, upgrade data centres, and increase analytics capabilities, it said.

Suncor will also collaborate with Microsoft on innovation projects, drawing on expertise and opportunities from both organisations.

Mark Little, Suncor President and CEO, said: “We’re excited to be partnering with Microsoft because they’re a global leader in the digital technology space, and they will bring value and insights into global innovation best practices.

“This is an example of how we are driving to improve our business in ways that were not possible before – to make our people safer, increase reliability and productivity, reduce costs and improve sustainability.”

In this multi-year strategic alliance, Suncor will take advantage of Microsoft’s full range of cloud solutions and will move towards cloud-based computing with Microsoft Azure as a preferred cloud platform. The move to Azure is expected to enable the rapid deployment of new technologies to improve safety and productivity through artificial intelligence, machine learning, enhanced automation, and industrial internet of things and visualisation, according to Suncor.

“Although we are an industry leader in many respects, we still have much to learn in the digital space, which is why we’re working with a number of organisations including Microsoft to challenge us,” Little said. “Similar to how we partner with and learn from innovators across our physical value chain, we’re choosing to partner with the experts in digital innovation.”

The company said: “Collaborating on innovation will include Microsoft resources embedded at the core of innovation teams, working together to explore a wide range of business capabilities. Additionally, value will come from accessing the Microsoft innovation ecosystem and real-world lessons from a curated community of global peers.”

Kevin Peesker, President of Microsoft Canada, said Suncor was embarking on a journey to transform the energy industry, and his company could help Suncor achieve its goals.

“They are creating new business value for their customers, empowering and upskilling their workforce, and innovating for a sustainable future,” he said. “The world’s leading companies run on our cloud, and we look forward to helping Suncor accelerate their digital transformation with Azure, Dynamics 365, Surface and Microsoft 365.”

Through this strategic alliance with Microsoft, Suncor expects to better improve the employee and customer experiences across its business, from front line workers in industrial settings, to gas station attendants at Petro-Canada gas and EV stations, to office workers across Suncor, it said. Digital technologies will be a means to draw superior insights from data and will open new ways to drive improved economic, social and environmental performance.

Suncor’s oil sands mining projects, located in the Athabasca region of Canada, are projected to produce a reliable, long-term energy supply while leveraging technology to minimise environmental and social impacts of resource development, it says. Located near Fort McMurray in northern Alberta, the assets include the Millennium and North Steepbank sites as well as the Suncor-operated Fort Hills mine. Suncor also has a 58.74% interest in the Syncrude joint venture and a 100% interest in the Voyageur South mining lease. Suncor holds a 36.75% interest in a joint venture partnership with Total to develop the Joslyn oil sands mining project.

Suncor to cut GHG emissions by 25% with natural gas project

Suncor has made the decision to replace its coke-fired boilers with two cogeneration units at its Oil Sands Base Plant, in Alberta, Canada, as it looks to lower its carbon footprint within the province.

The cogeneration units will provide reliable steam generation required for Suncor’s extraction and upgrading operations and generate 800 MW of power, the company said.

The power will be transmitted to Alberta’s grid, providing reliable, baseload, low-carbon power, equivalent to around 8% of Alberta’s current electricity demand. This project will increase demand for clean natural gas from Western Canada, Suncor said.

Mark Little, President and CEO, said: “This is a great example of how Suncor deploys capital in projects that are economically robust, sustainability minded and technologically progressive.

“This project generates economic value for Suncor shareholders and provides baseload, low-carbon power equivalent to displacing 550,000 cars from the road, approximately 15% of vehicles currently in the province of Alberta.”

The project cost is estimated to be C$1.4 billion ($1.06 billion), delivering a high teens return and projected to be in-service in the second half of 2023.

“This project will substantially contribute to the company’s goal of an increased C$2 billion in free funds flow by 2023,” the company said. “This will be achieved through oil sands operating cost and sustaining capital reductions along with margin improvements. It will also contribute materially to Suncor’s publicly announced greenhouse gas (GHG) goal.”

Replacing the coke-fired boilers with cogeneration will reduce GHG emissions associated with steam production at Base Plant by some 25%. It is also expected to reduce sulphur dioxide and nitrogen oxide emissions by approximately 45% and 15%, respectively, the company says.

The cogeneration units will eliminate the need for a flue gas desulphurisation (FGD) unit, which is currently used to reduce sulphur emissions associated with coke fuel. Decommissioning the FGD unit will reduce the volume of water the company withdraws from the Athabasca River by around 20%.

“By producing both industrial steam and electricity through a single natural gas-fuelled process, cogeneration is the most energy-efficient form of hydrocarbon-based power generation. Suncor believes this project will contribute to both Alberta and Canada’s climate ambitions.”