June 8, 2007

WINNIPEG, Manitoba - The Honourable Vic Toews, President of the Treasury Board and Member of Parliament for Provencher, on behalf of the Honourable Chuck Strahl, Minister of Agriculture and Agri-Food and Minister for the Canadian Wheat Board, today announced that Canada's New Government is investing more than $209,000 in three projects in Manitoba that will help develop the emerging biofuels industry.

"Canada's New Government believes in the biofuel industry and its positive impact on our environment, in our communities and the opportunities it provides to our farmers," said Mr. Toews. "It's especially fitting, during this celebration of Environment Week, that we are working together through these leading-edge projects to advance the biofuels industry in Manitoba."

Through the Biofuels Opportunities for Producers Initiative (BOPI), the three participants will conduct feasibility studies and create business plans for the potential development of an ethanol plant in Killarney and biodiesel facilities in Russell and Beausejour.

"It's encouraging that the federal government is providing support to help these companies explore the vast potential for biofuel production," said Terry Hayward, Executive Director of the Manitoba Rural Adaptation Council, which administers the BOPI program in Manitoba. "These projects demonstrate how committed we are to both our environment and our agricultural sector."

BOPI is a two-year $20 million commitment by Canada's New Government designed to provide farmers and rural communities with opportunities to participate in, and benefit from, increased Canadian biofuel production. The initiative helps agricultural producers develop sound business proposals, as well as undertake feasibility or other studies to support the creation and expansion of biofuel production capacity. It is delivered through the industry councils in each province and territory that administer Agriculture and Agri-Food Canada's Advancing Canadian Agriculture and Agri-Food Program.

In Budget 2007, Canada's New Government allocated $2 billion over seven years to support the production of renewable fuels. In addition, since coming to office, this government has announced $500 million to assist farmers and rural communities to seize new market opportunities in the bio-economy through biofuels and bio-products initiatives.

• Backgrounder - Biofuels Opportunities for Producers Initiative funds three Manitoba projects