Shell Canada to speed up ultra-low-sulphur development

CALGARY, Alta. (May 10, 2004) — Shell Canada says it’s investing $400 million to bring ultra-low-sulphur diesel fuel (ULSD) to the Canadian marketplace ahead of new federal regulations that take effect June 1, 2006.

Work has started at refineries in Montreal and Scotford, Alta. to complete two new diesel hydrotreater units by early 2006. They’ll produce diesel fuel with sulphur levels reduced to 15 parts per million (ppm), down 95 per cent from current levels, to meet the coming regulations.

Shell also signed a 20-year agreement with Suncor last year by which Suncor will construct a hydrotreater at its Sarnia, Ont. refinery to reduce sulphur in diesel for both companies.

Engines built to 2007 standards will require ULSD fuel as nitrogen oxide and particulate emissions from diesel-powered vehicles are chopped by about 90 per cent from current levels.

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