Thompson & Knight Advises Proman on Investment into a US$685M Biofuels Plant in Quebec, Canada

DALLAS, Texas – Thompson & Knight LLP served as primary outside counsel to Proman  in its investment into Varennes Carbon Recycling (VCR), which is developing a US$685 million biofuels plant in Québec, Canada. Shell Canada Limited, Suncor Energy Inc., and Enerkem Inc. (Enerkem) also made investments into VCR, which is also receiving critical support from the governments of Québec and Canada.

The plant will use non-recyclable residual materials and wood waste, including solid waste and mixed plastic waste, as a feedstock, and through a proprietary gasification technology of Enerkem, convert the feedstock to produce bio-methanol and other biofuels and renewable chemicals. Hydro-Québec, through the construction of one of the world’s largest renewable hydrogen and oxygen production facilities, will provide the plant with green hydrogen and oxygen. The plant is expected to achieve commercial operation in 2024 and produce 125 million liters / 33 million gallons / 100 thousand ton of bio and circular methanol annually, with a greenhouse gas reduction equivalent to removing about 50,000 vehicles from the road per year.

“It is a great privilege for Thompson & Knight to assist Proman on its green investment into this market-leading biofuels project,” said Thompson & Knight Partner George Humphrey, who led the investment legal team. “We were able to use our deep skills in international downstream and renewables to help the team close on a project that will play a potentially important part in a world transitioning to clean energy.”

Mr. Humphrey is currently working on the development of wind and solar projects in the United States, an investment into an energy storage company, and the development of a petrochemical plant in Africa. He has more than 20 years of experience in renewable and downstream energy and has overseen the development, financing, and closing of billions of dollars of renewable projects both in the United States and internationally, including the purchase and sale of renewable projects and businesses.

The Firm’s team was led by George Humphrey (finance) and included Timothy T. Samson (corporate), Dasha K. Hodge (corporate), Nicolas Adrian McTyre (government and regulatory), Craig Carpenter (intellectual property), Kelsie Knight (corporate), D. Alexander Witschey (corporate), and Brandon S. Davidson (finance).