Heidelberg Materials to partner with the Government of Canada for the First Global Net-Zero Carbon Capture and Storage Facility (CCUS) in the Cement Industry

net-zero | April 5, 2023

By: Cement Association of Canada

Heidelberg Materials is pleased to announce the successful completion of a Memorandum of Understanding between Heidelberg Materials and the Government of Canada. This partnership will support Heidelberg Materials’ project to develop the cement industry’s first global full scale Carbon Capture Utilization and Storage (CCUS) facility at the company’s Edmonton location. This milestone is fundamental to achieving a viable business case that will allow this groundbreaking, first mover project to be realized.

The new facility, which Heidelberg Materials anticipates being operational by late 2026, will capture more than 1 million tonnes of CO2 annually from its Edmonton cement production facility and the combined heat and power facility that is integrated with the capture process.

“Our Edmonton CCUS project as the world’s first carbon neutral cement plant is another milestone in Heidelberg Materials’ ambitious drive to lead the industry to net zero, and we are excited to begin realizing this as soon as possible,” shared Chris Ward, President and CEO of Heidelberg Materials North America. “We are very fortunate to partner with the Government of Canada in this endeavor and we look forward to continued collaboration as we move forward with this exciting project.”

A project feasibility study was first announced in 2019 and received a $1.4 million contribution from Emissions Reduction Alberta and was completed in 2021. Heidelberg Materials committed a further $25 million in Q3-2022 to support the front-end engineering and design processes critical to the project’s success.

The Honourable François-Philippe Champagne, Minister of Innovation, Science and Industry announced, “this partnership shows that our government is committed to the hard-working people of Alberta, as well as to the greening of Canada’s production of concrete and cement. There is a growing urgency for rapid decarbonization in high-emitting sectors, including the cement and concrete industry, and by working hand in hand with the industry, we can support the adoption of innovative technologies that will contribute to lower emissions and increased competitiveness. Carbon capture is an important tool in our fight against climate change, and Canada is proud to be partnering with Heidelberg Materials in the development of this innovative clean technology.”

The partnership announced today will contribute to Heidelberg Materials’ vision of leading the decarbonization of the cement industry. Actively contributing to the development of the new 1.5°C framework, Heidelberg Materials was the first company in the cement sector to have its targets endorsed by the Science Based Targets Initiative (SBTi) in 2019.

“Today is a great milestone in our journey to produce the World’s First Net Zero Cement,” said Oliver Patsch, President of the Northwest Region for Heidelberg Materials North America. “This pioneering initiative places the City of Edmonton at the epicenter of the cement industry’s decarbonization efforts. We welcome the support from the Government of Canada and look forward to the next steps in this industry leading CCUS project.”
“With Budget 2023, we’re investing in the economic building blocks that will create tens of thousands of new jobs, provide the resources for our country to lead new net-zero solutions, and build a prosperous future for all Albertans and Canadians. This budget and today’s announcement are statements that Alberta will continue to be not only relevant but also forward-thinking as we assert ourselves as global leaders in the net-zero future,” added Randy Boissonnault, Minister of Tourism and Associate Minister of Finance.

Mayor of Edmonton, Amarjeet Sohi, added “I am pleased to see that the Heidelberg Materials carbon capture, utilization and storage solution pilot project will be going into production shortly. The Edmonton region is uniquely positioned to decarbonize large industrial facilities such as this cement plant, and this announcement today by Heidelberg Materials and the Government of Canada supports the City of Edmonton’s commitment to transition to a low-carbon future and reach net zero greenhouse gas emissions by 2050. By preserving our environment and diversifying our economy in innovative ways, we can build a more sustainable Edmonton for all of us.”