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Backgrounder January 12, 2011




Geography inspiring lowcarbon future


The community: socioeconomic, environmental, cultural - ready


Academic and public body partnerships


GreenField Ethanol


Open Innovation at the Ontario East Wood Centre


Making progress


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 m o .e w w w t See a

!  Strong academic partnerships/MOUs ! Federal support currently from Industry

Canada – need NRCAN!!


“Edwardsburgh/Cardinal, at the heart of the greatest hard wood forest of North America�


The world by our door


On the shores of the world’s largest body of fresh water: the Great Lakes/St. Lawrence



Potential Markets in the USA for Value-Added Wood Products rebounding


Best Opportunities including info from Don Roberts, CIBC Pharmaceuticals (collection) Nutraceuticals

Market Growth


Manufactured Housing

Bio-chemicals Bio-Materials

Cabinets EWPs Millwork - Other


Furniture Bio’s Millwork – Doors/Windows


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


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


Various Task Teams established to stimulate “ ‘shared value’ expanding the total pool of economic and social value” * !  25 MW Biomass Cogen


!  Biochemical processing !  Pilot/demonstration

plants for preprocessing hard woods

!  Ontario East Biorefinery


!  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


* “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


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


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


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


Over 50 years ago â&#x20AC;&#x201C; cluster of chemical producers, now includes Kemira, Invista and DuPont




GRAIN IN……BY SHIP..…80,000 Tonnes Three ships 2,000 Truckloads $34 million improvements partially complete




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


• Part of Macquarie Power & Infrastructure


• 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


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


• 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


Province of Ontario and Edwardsburgh/Cardinal own 10,000 plus acres of wooded lands surrounding the Edwardsburgh/Cardinal Eco-Industrial Park


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


• 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


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



Plastics Adhesives Solvent Surface agents


Acetic Acid

Fuel Pellets

Unbleached Pulp Bleached Pulp


Pulping Chemicals






Lactic Acid


Graphic illustrates interconnections â&#x20AC;&#x201C; forest to forest products


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


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


Assistance to the forest industry in creating uses for underutilized, lower value wood in Eastern Ontario and the region and


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.


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



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Geographic Advantage: transportation links support domestic and export markets with the rural landscape


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)


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

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


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


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)


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


Queenâ&#x20AC;&#x2122;s chemical engineering students preparing to learn about OEWC: Sept 15, 2010


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


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


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


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


Dr. Christopher Lan of Ottawa U with work on biodiesel/ algae etc.; Yves Lavictoire of OMAFRA to assist with business plan in 2011


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


!  Serious contacts being

sought; Hatch Engineering interested in helping


Sandra Lawn, BSc, MPA Project Leader 613-925-5568

Photo credits: Helen Mott and Sandra S. Lawn Edwardsburgh/Cardinal 60