Cargill is planning to build a crush plant with annual capacity for one million tonnes of canola in Regina, Sask.
Construction is slated to begin in early 2022, with operations beginning in early 2024.
Cargill estimates it will cost around $350 million and says it will have a similar design as the company’s canola processing facility at Clavet, Sask. (pictured above).
Speaking of the Clavet plant, the company says it will also update and increase capacity at its existing canola facilities in Camrose, Alta. and Clavet over the next 12 months.
“Through these projects, we’re committed to providing a better, more efficient customer experience across our network, making it easier to do business with Cargill,” says Jeff Vassart, president of Cargill Canada.
Cargill’s proposed canola processing facility at Regina, Sask. (supplied)
He says Cargill is confident in the continued growth and competitiveness of the canola processing industry and looks forward to helping farmers access increasing market demand.
Once completed, Cargill expects the Regina facility will require approximately 50 full-time employees.
Sources have indicated Viterra is also looking to build a canola processing facility at Regina following a land deal with the city earlier this month. In March, Richardson announced plans to double the canola crush capacity at its plant in Yorkton, Sask.
In addition to strong demand from traditional markets, demand for canola oil is expected to rise with increased production of renewable diesel, as governments in Canada, the U.S. and Europe are introducing rules requiring fuels with reduced carbon intensity. True North Renewable Fuels, which was acquired by Federated Co-op earlier this month, and Covenant Energy at Estevan, Sask. are among the companies looking to build renewable diesel production facilities in Saskatchewan.