Algoma says it will see an annual reduction of approximately 21,000 tonnes of greenhouse gas emissionsClick image to enlargeAlgoma Steel has secured $4 million in federal funding to support the company’s climate change initiatives.

The funding, which comes from the “Champions stream” of the federal Low Carbon Economy Fund, will help the integrated steel producer improve the tar-removal and light-oil-recovery areas of its coke-making plant in Sault Ste. Marie, Ont. The company says the move will help reduce greenhouse gas emissions and improve local air quality. 

"As Canada safely reopens, our government is making strategic investments to stimulate local economies, create local jobs, and fight climate change,” said Jonathan Wilkinson, Minister of Environment and Climate Change. “This investment through the Low Carbon Economy Fund will support Algoma Steel's efforts to switch to clean technology and will create new manufacturing and construction jobs for the people living in Sault Ste. Marie. This is an excellent example of how Canada will build back better following the pandemic."

The coke-making process of steel production generates a variety of by-products including coke-oven gas, various tars, and light oil. By using better equipment to capture and remove by-products suspended in coke-oven gas, a steel manufacturer can reduce its greenhouse gas emissions and reduce local air pollution. This coke-oven gas will be used to fuel other processes within the plant.

Algoma says it will see an annual reduction of approximately 21,000 tonnes of greenhouse gas emissions, amounting to a cumulative reduction of about 596,000 tonnes over the project's lifetime. That amount is equivalent to removing approximately 182,000 cars off the road for one year.

"Algoma Steel has joined our Canadian peers in aiming to achieve net-zero carbon emissions by 2050,” said Michael McQuade, CEO of Algoma Steel Inc. “The tar-and-light-oil project brings us one step closer to that goal, and we could not have done it without the support of the Government of Canada and the Low Carbon Economy Fund."

The Government of Canada's Low Carbon Economy Challenge invests in projects that reduce carbon pollution, save money, and create good jobs. 

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