Backgrounder January 12, 2011
1
Outline
1.
Geography inspiring lowcarbon future
2.
The community: socioeconomic, environmental, cultural - ready
3.
Academic and public body partnerships
4.
GreenField Ethanol
5.
Open Innovation at the Ontario East Wood Centre
6.
Making progress
7.
Exploring Initiatives 2
Ontario’s Eastern Zone
Economic, energy and environmental opportunities in smart, low carbon, rural eastern Ontario ! Worldwide challenges of shifting markets,
climate change, energy security
! Strong forestry and manufacturing culture ! Highly trained technical labour force ! Five top universities within 15 minutes to
an hour
! Availability of feedstock ! 1,000,000 metric tonnes of pulpwood material from
Ottawa Valley alone
! Ministry of Northern Development Mines
and Forestry; need more involvement of Ministry of Research and Innovation
f.on.ca m o .e w w w t See a
! Strong academic partnerships/MOUs ! Federal support currently from Industry
Canada – need NRCAN!!
4
“Edwardsburgh/Cardinal, at the heart of the greatest hard wood forest of North America�
5
The world by our door
6
On the shores of the world’s largest body of fresh water: the Great Lakes/St. Lawrence
1/18/10
7
Potential Markets in the USA for Value-Added Wood Products rebounding
8
Best Opportunities including info from Don Roberts, CIBC Pharmaceuticals (collection) Nutraceuticals
Market Growth
NTFPs
Manufactured Housing
Bio-chemicals Bio-Materials
Cabinets EWPs Millwork - Other
Bio-energy
Furniture Bio’s Millwork – Doors/Windows
$Thousands
Capital Investment
$ millions
The Wood-based Bio-Economy • Over 70 different species of
•
• •
•
wood: maple, oak, Eastern white pine, birch, basswood, ash, and many more Renewable resources, like forests, not just food, feed and fibre, but energy, chemicals and materials while bringing important environmental benefits/social value Forestry industry in Canada – 270,000 jobs; 2% of GDP “An integrated mill … 5 times as many jobs as any stand alone biooperation” FPAC February 1, 2010 Processing can increase wood products’ value six fold
Regional Advantages Better Costs !
Shared infrastructure & energy, support systems & services, high speed internet
!
Water & wastewater systems
Raw Material + Market Access !
1 million cubic meters, predominantly hard woods, local, Eastern Ont., and more in Western Québec & Northern NY State
!
The Port of Prescott
!
Main highway and rail connections
Support for Growth !
Research partnerships with a range of agencies, student training & internships, mentoring & consulting contracts
!
Incubation space, labs, pilot facilities, MOU discussion with NRC-IRAP
!
Local machine & welding, trucking & container services
!
Broad band connections of highest calibre under development to be completely operational by in Edwardsburgh/Cardinal in 2013; entire project to be complete by 2014.
!
Space to build: 400 acres of Township owned industrial land
!
FedDev and provincial programs to encourage innovation
Key public and academic relationships: collaboration for a low-carbon future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Board of Directors, OEWC !
!
!
Alastair Baird, Renfrew County Economic Development Officer for Natural Resources
!
Henry Lickers, Mohawk Council of Akwesasne
!
Jason Linkewich, B. Com, FCMA; Vice President – Fibre Supply Strategy, Tembec
!
Dr. Steven Liss, Vice Principal (Research) Queen’s University
!
Dennis Senik, P. Eng., MBA, currently with Doyletech Corporation working on management of industry and government strategic initiatives in high technology
!
Mayor Bill Sloan, Township of Edwardsburgh/ Cardinal
Brian Barkley, RPF, retired GM of Eastern Ontario Model Forest, Chair of the Board Ray Bonenberg; retired MNR Director of Southern Region
!
Tony Bull (founding director), retired Parks Canada director, VP EOMF
!
Dr. Michel Caron, La Cité collégiale
!
Larry Dishaw (founding director) former mayor
!
Dr. Sandy Smith, Dean of Faculty of Forestry at University of Toronto
!
Geri Kamenz; Chair of Ontario Farm Products Marketing Commission, area farmer
!
François Tanguay of Coalition Bois in Québec
!
Sandra S. Lawn Project Leader, (founding director)
!
Ed White, Professor Emeritus, SUNY ESF, ex officio
!
Dave Lemkay of Renfrew Economic Development Commission retired Canadian Forest Service
!
Michael Wildman, CAO of Edwardsburgh/ Cardinal, formerly manager of Development Review, Department of Planning and Growth Management for City of Ottawa
13
Directors of the OEWC Board, photographed on December 10th 2010 Back row: L to R: Dennis Senik, Dave Lemkay, Henry Lickers, Geri Kamenz, Brian Barkley (Chair) Front Row: L to R: Tony Bull, Larry Dishaw, Sandra Lawn (Project Leader) Mayor Bill Sloan Absent: Alistair Baird, Dr. Michel Caron, Jason Linkewich, Dr. Steve Liss, Dr. Sandy Smith, Franรงois Tanguay, Dr. Ed White, Michael Wildman
14
Various Task Teams established to stimulate “ ‘shared value’ expanding the total pool of economic and social value” * ! 25 MW Biomass Cogen
plant
! Biochemical processing ! Pilot/demonstration
plants for preprocessing hard woods
! Ontario East Biorefinery
Consortium
! Thermo-chemical wood
processing technologies
! Second and third
generation biofuels
! Greenhouse development
utilizing carbon dioxide and heat
! Encouragement of short
rotation crops
! Advancing the use of wood ! Advancement of Forest
Resource Inventory for southern Ontario (with partners)
! First Nations Housing ! FSC Certification and wood
supply
* “The purpose of the corporation must be around Shared Value !and unleash a wave of innovation and growth” and “businesses must reconnect company success with social progress” Michael E. Porter and Mark R. Kramer in Harvard Business Review, Jan/Feb. 2011, pp 63-65
15
Some Supporting Initiatives • EOMF is Lead for Canadian Model Forest • • • • • • • • •
Network National Initiative on Bio-Energy FSC certification accelerating Forest Biomass initiative with Queen’s, MNR, OEWC & EOMF: inventory essential Queen’s Business Consulting assisting with Wood Science Innovation Business Plan Southern Ontario Operational Biomass, Trial with Feric and others SUNY fast-growing Plantations trials at Ferguson Forest Station Mohawk Community of Akwesasne, Forest Management Strategy University of Guelph-Kemptville, Campus, bio-oil for maple producers, biomass initiative under discussion Documentation of Domtar’s Short Rotation Forest Commercial Harvest U of Toronto Eastern Ontario Biomass study NSERC funded, completed 2010
University of Toronto Forestry Service
Canadian Forest Service
Fast growing Hybrids: SUNY, test sites at Ferguson Forest Centre successful; ideal crop for lower class lands, preventing erosion, conference in US in October 2010
17
Founding Partners of the Ontario East Wood Centre & Eco-Industrial Park Eastern Ontario Model Forest and Township of Edwardsburgh/Cardinal
Eastern Ontario Model Forest EOMF – a founding partner • Over 600 well established • • • • • • • •
partnerships Sharing great knowledge of the forestry industries of Eastern Ontario and beyond Funding from Canadian Forest Service under community forests program Leadership over past 18 years Knowledge base/research along the entire value chain Key link to sustainable forest resources, First Nations & regional heritage Forest Stewardship Council (FSC) certification Hardwoods of great beauty and usefulness; 70 species of tree Experts in short rotation woody crops (willow and poplar)
We are in the Eastern Ontario Model Forest 1.5 million hectares of the Eastern Zone; interest extends well beyond these original boundaries
Ottawa
f Port o t ot c s Pre
Edwardsburgh/Cardinal: a founding partner • Beautiful historic rural community • On the shores of the world’s greatest
supply of fresh water • Route to the heartland of North America • In the centre of the most significant hard wood forests in North America • Community capacity: local strength • 400 acres of industrial land • Owners of Port of Prescott
Community of rural communities ! ! ! ! ! ! ! ! ! ! ! !
Agriculture and agri-business Heritage Lumbering Craftsmanship Manufacturing Chemical processing Tourism Agriforestry; maple products Ferguson Forest Station Certified Forest Owners County forests/urban forests Warm and welcoming
22
Over 50 years ago â&#x20AC;&#x201C; cluster of chemical producers, now includes Kemira, Invista and DuPont
23
24
2009
GRAIN IN……BY SHIP..…80,000 Tonnes Three ships 2,000 Truckloads $34 million improvements partially complete
WHARF TRAFFIC - 675,000 MT - IN/OUT
STONE OUT GRAIN OUT 81,000 MT
53 SHIPS AT BERTH
47,000 MT GRAIN IN 80,000 MT SALT IN– 467,000 MT
RE - INVESTMENT now complete Additional Storage ! 25,000 Tonnes ! Total Cost $5.6 Million ! STIMULUS FUND ! $3.6 million ! PORT FUND ! $2.0 million ! Completion July 2010
Co-gen well established at Cardinal Power of Canada L.P. • One of largest cogeneration plants in
Ontario
• Part of Macquarie Power & Infrastructure
Fund
• Natural Gas (from Alberta) • Feeds to Benson Public School • Feeds to Grid • Feeds to CASCO (150 year old, 270
employees, corn bioproducts plant still going strong! • Heat and Power • Recent interest in 25 MW CHP plant at the
Wood Centre utilizing wood/construction waste; uninterrupted power essential for GreenField and others
Biorefineries at Casco: 150 year old bioindustry with 270 employees
29
GreenField Ethanol off to strong start • 200 million litres of ethanol per year; now at
120%of capacity
• “We have a particular interest in the R&D
• 50 permanent jobs • By-products:
distillers grain
heat, carbon dioxide and dry
• $180 million dollar construction cost • 20 million bushels of corn mostly from regional
farmers
• First load of corn received on November 21, 2008 • Letter of understanding with OEWC & EIP • Current research on cellulosic ethanol centred at
Chatham; making progress re corn cobs; former Tembec executive leaders
• Large tract of surplus land (for second generation
transportation fuels)
• Railway siding in place
and demonstration aspect. This Centre is ideally positioned to bridge the gap between scientific and technological discoveries and subsequent commercialization of the innovative utilization of forest and agricultural feed stocks and associated products.” • Most co-operative in providing tours for Queen’s University professors, engineering students and EOMF; also liaison with U of T Faculty of Forestry; engineering students and commerce students • Brian Gartley now in a new role with corporate GreenField Engineering & Technology (GET) group especially re: “technology investigations” • Verbal agreement to cooperate with greenhouse feasibility study: OEWC has made contact made with Confluent Energies Inc. and others. Media coverage created interest • Opening of new administration building on November 30, 2010
30
Province of Ontario and Edwardsburgh/Cardinal own 10,000 plus acres of wooded lands surrounding the Edwardsburgh/Cardinal Eco-Industrial Park
31
The Wood-based Bio-Economy • Over 70 different species of
•
• •
•
wood: maple, oak, Eastern white pine, birch, basswood, ash, and many more Renewable resources, like forests, not just food, feed and fibre, but energy, chemicals and materials while bringing important environmental benefits Forestry industry in Canada – 270,000 jobs; 2% of GDP “An integrated mill … 5 times as many jobs as any stand alone biooperation” FPAC February 1, 2010 Processing can increase wood products’ value six fold
Innovation and construction with wood • First Nations Housing Project important goal • Imagine: natural materials: wood siding, solid
timber interior, beams floors, cabinetry
• need good housing “where people feel good”
Margaret George (opposite);
• resistant to extremes in weather; earthquake,
wind, frost and degradation proof
• Design is critical; sensitivity to culture • designed to take advantage of renewable natural
resources close to community
• Need to determine specs, number needed, timing,
cost/budget, quantity, species, sizes and grades of wood needed over time
• training re construction and assembly; jobs within
communities
• Great opportunity for Eastern Ontario • Francois Tanguay of coalition bois and Henry
Lickers of Mohawk Council of Akwesasne proponents
Our red oak and black ash
Richard David, master basket maker at Limerick Forest in Edwardsburgh/Cardinal 34
Lumbering tradition
35
Bioproducts from Wood
Some products from wood Woody Biomass
Residual Woody biomass
Hot-Water Extraction
Co-Gen or CHP Gasification Feedstock
Extraction Liquor
Alkaline Puling
Paper products or Cellulose products
Hydrolysis / Separation
Food additives: sugar oligomers
Electricity and Steam
Reconstituted Wood Products
Black Liquor
Separation or Co-Gen
Carbohydrates
…
Aromatics
Plastics Adhesives Solvent Surface agents
…
…
Sugars
Acetic Acid
Fuel Pellets
Unbleached Pulp Bleached Pulp
Methanol
Pulping Chemicals
Xylitol
Ethanol
Butanol
Acetone
Hydrogen
Lactic Acid
PHA
Graphic illustrates interconnections â&#x20AC;&#x201C; forest to forest products
38
Incorporation of OEWC & EIP complete; objects are: 1.
The development of a forest and biomass based and innovation-inspired cluster of industrial, business and demonstration projects in an ecologically sound environment
2.
A platform for scientific collaboration, business development, demonstration, piloting, commercialization, exporting and marketing of a wide array of innovative value-added wood and biomass products, including but not limited to: solid wood building components, biochemicals and bioenergy
3.
Assistance to the forest industry in creating uses for underutilized, lower value wood in Eastern Ontario and the region and
4.
Participation in the!restructuring of the forest industry of the Great Lakes/St. Lawrence forest for the benefit of rural communities!and in partnership with a variety of other organizations, academic institutions, individuals and agencies with compatible goals.
39
The Ontario East Wood Centre & Eco-Industrial Park vision: open innovation supporting social values a thriving best practices centre of excellence for wood fibre-based and biomass enterprise that brings together technology, science and entrepreneurship in support of the rural economy of Ontario, sustainable forests and sustainable communities
40
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Geographic Advantage: transportation links support domestic and export markets with the rural landscape
42
Eco-Industrial Park as we see it !
! !
To paraphrase Peter Senge et al (2008): “The same can be said for eco-industrial parks. The use of industrial symbiosis or any other characteristic or strategy is not enough to designate an industrial park as an eco-industrial park. You have to think about the whole system: the land, the site itself, how it uses water, how it uses energy, what materials are in it, what air quality is like and the healthiness of the building for its occupants.” forest and agriculture innovation in a geographically advantaged rural setting Innovation and creativity based on solid science, good design and multi-partner innovation
Eco-Industrial development schematic; large acreage available (400 acres in total)
44
The basis for by-product synergy !
All resources harvested and extracted in the province do not now find their way into products and economically productive uses.
!
By-products are often discarded as wastes even though economical and technological opportunities exist, or could exist in the near future, to use these resources productively.
!
Energy is used in the harvesting, extraction and manufacture of products and the use of byproducts could result in substitution of imported sources of energy
!
Link to second generation biofuels
!
Carbon dioxide a key by-product of GreenField
!
Emphasis on value-added wood products
Methane recovery
http://www.union.dk/upload/billede4380.jpg
Colleges – critical collaboration La Cité collégiale, Ottawa – signed memorandum of understanding on February 10, 2010 in areas such as construction (aboriginal housing), architecture, forest technology, biotechnology, exterior design and environment as programs that can be involved. They also have an international project pertaining to workers mobility including students with institutions from France and Finland. We were pleased to welcome Jukka Asp from Finland on October 4, 2010 St. Lawrence College, Brockville campus - signed MOU; especially supportive re training and stationary engineering, applied technology, business planning and other related programs Algonquin College, Ottawa and Pembroke, Ontario – Applied Research and Innovation Director – MOU seeking relationship in variety of areas including involvement of Forestry Technician students in Pembroke and applied technology with respect to forest related initiatives; September 18, 2010 visit to Black Walnut plantation – collaborative project Loyalist College at Belleville – MOU now in place; special interest from Bancroft campus – strong lumbering area Confederation College, Thunder Bay, Ontario – Innovation Development Program were interested in a formal relationship; especially with respect to First Nations Housing, cedar project and twinning of northern community with Edwardsburgh/Cardinal. Progress limited
46
FPInnovations !
Meeting in Québec City, October 2009
!
Encouraging way to link northern and eastern Ontario
!
Value to our St. Lawrence/ Great Lakes forest based industries
!
New general manager of EOMF managed relationship
!
Invitation to join OEWC Board of Directors being considered by Pierre Lapointe
!
Considered to be essential participant, initially good relationship
!
Anticipating response from Pierre Lapointe in January 2011
47
Queen’s University 2010 !
Project #1 The students are evaluating the technical, safety, environmental and business feasibility of the demonstration plant based on hot water extraction process and developing a document that will be used to draw capital investors to the project. The students will gain insight into the complicated world of corporate strategic planning and capitalization within the context of leading edge technologies in an emerging bioeconomy .
!
Project #2 The students are working in parallel with Project #1 developing the in-depth information on the ABS technology, supportive data on reverse osmosis/ membrane technology, equipment needed, strengths of this technology compared to other competing technologies, products produced, uses of these products, emerging new products and new approaches to specific parts of the process etc.
!
Chemical Engineering 470 course: the students are evaluating the technical, safety, environmental impact and business feasibility of an idea that utilizes furfural derived from woody biomass. The purpose of the plant is to make the fuel additive 4-Methytetrahydrafuran and furfurol. The feasibility study should produce a safe and efficient design for a facility providing 5% of the volume for a 100,000 barrel per day bio-oil refinery. It is also an interesting feature of the project that the design is to be flexible in the products produced.
!
Chemical Engineering 360 course: Engineering Communications linked to the CHEE 470 above 48
Queenâ&#x20AC;&#x2122;s Faculty of Applied Science TEAM
Examining various processes for extracting greatest chemical value from wood; fourth year engineers with advisors from chemical industry (e.g. DuPont)
49
Implementation Team Assemble at Queen’s University, June 2010 Establishing SUNY’s Applied Biorefinery Sciences in Canada is main objective
Dr. Paul Stuart, NSERC Environmental Design Chair, Sandra Lawn Project Leader for OEWC, David Mody, Queen’s chemical engineering prof, Dr. Geoff Whitfield retired chief scientist for DuPont (Canada) and Dr. Tom Amidon, Professor State University of New York, School of Environmental Science and Forestry, Director, Biorefinery Institute
50
Queenâ&#x20AC;&#x2122;s chemical engineering students preparing to learn about OEWC: Sept 15, 2010
51
Roundtable at Queen’s; October 30, 2010 A case study presented by Sandra Lawn
! “Low Carbon
Socioeconomic Development in Eastern Ontario”
! Roundtable organizers: Dr.
Susan Wood, Dr. Warren Mabee, Dr. Geoff Whitfield
! Well received – good
demonstration of partnerships and innovation in rural Eastern Ontario
1/18/10
Strong Network building ! Association between our
special Advisor Allison Sprague, Emersa Engineering Ltd. and John Stinson retired Manager of DuPont Kingston
! Agreements with Alastair
Baird of Renfrew County (will join board) and Steve Silver CAO of LeedsGrenville – will arrange meeting with County Council and Jamie Stevens involvement 52
Queenâ&#x20AC;&#x2122;s students at SUNY listen to Dr. Tom Amidon, October 29, 2010
53
Hot-Water Extraction: Sugar Maple Woodchips Residual Woodchips: 77.00 g Glucan: 38.57 g Xylan: 4.14 g Mannan: 1.10 g Galactan: 0.92 g Arabinan: 0.04 g Rhamnan: 0.12 g Acetyl: 0.89 g
Woodchips: 100 g Glucan: 40.77 g Xylan: 15.42 g Mannan: 2.13 g Galactan: 0.80 g Arabinan: 0.58 g Rhamnan: 0.42 g Acetyl: 2.17 g
= Glucose: 45.30 g = Xylose: 17.52 g = Mannose: 2.37 g = Galactose: 0.89 g = Arabinose: 0.66 g = Rhamnose: 0.47 g = Acetic acid: 3.57 g
Klason Lignin: 22.30 g Acid Soluble Lignin: 2.94 g Unidentified: 12.46 g
Hot-Water Extraction at 160째C for 2 hours with Water to Solid ratio of 4:1
= Glucose: 42.86 g = Xylose: 4.70 g = Mannose: 1.22 g = Galactose: 1.02 g = Arabinose: 0.04 g = Rhamnose: 0.14 g = Acetic acid: 1.46 g
Klason Lignin: 20.0 g Acid Soluble Lignin: 0.89 g Unidentified: 10.33 g Extract: 23.00 g Glucan: 0.88 g Xylan: 8.94 g Mannan: 0.94 g Galactan: 1.31 g Arabinan: 0.55 g Rhamnan: 0.82 g Acetyl: 1.07 g Degraded Lignin: Unidentified:
= Glucose: 0.98 g = Xylose: 10.16 g = Mannose: 1.04 g = Galactose: 1.46 g = Arabinose: 0.62 g = Rhamnose: 0.92 g = Acetic acid: 1.76 g 3.27 g 5.22 g
54
Growing interest in biorefining based on woody and agricultural biomass and cogen facility ! Queen’s University assisting in preparation of
application for funding of feasibility studies
! Second and third generation biofuels: two levels of
interest currently
! Biochemical producers – three from USA showing
active interest
! Letter of Intent for purchase of commodity
biochemical from significant USA player and… 55
Visit to the port site by SUNY Environmental Science and Forestryâ&#x20AC;&#x2122;s Dr. Tom Amidon and Dr. Ed White March 18, 2010 Mayor Larry Dishaw, Dr. Ed White of State University of New York, SUNY, Tony Bull EOMF, Sandra Lawn Project Leader, Councillor Frank Noccey, and Dr. Tom Amidon, SUNY. Tom is known around the world for his excellent work
56
Dr. Christopher Lan of Ottawa U with work on biodiesel/ algae etc.; Yves Lavictoire of OMAFRA to assist with business plan in 2011
57
GreenHouse Project ! Proponent: Ontario East
Wood Centre and Township of Edwardsburgh/Cardinal
! Utilizing some of 500
tonnes/day of carbon dioxide and excess heat from GreenField
! RFP for Feasibility study
ready
! Serious contacts being
sought; Hatch Engineering interested in helping
58
Sandra Lawn, BSc, MPA Project Leader sslawn@ripnet.com 613-925-5568
Photo credits: Helen Mott and Sandra S. Lawn Edwardsburgh/Cardinal 60