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Imperial Oil's renewable diesel unit, the largest in Canada, is cutting the company's biofuel import needs. Established in Strathcona, Alberta, the 20,000 b/d facility commenced operations last year amid growing demand for lower-carbon fuels in Canada.

Imperial's CEO John Whelan indicated that the unit is performing well, decreasing reliance on costly imports from US suppliers like Valero. The company is integrating renewable diesel into its diesel sales to comply with Canada's low-carbon fuel standard, which mandates reductions in road fuel carbon intensity.

The rise in Canadian production, supported by favorable federal and provincial policies, may alleviate competition concerns with US imports. However, the exact production levels remain uncertain, as hydrogen availability is impacting the facility's ramp-up speed.