Suncor Energy (SU) plans to spend $ 1.4 billion to replace its coke boilers with two cogeneration units at its oil sands plant north of Fort McMurray, Alberta.
The company said the units would produce steam for its extraction and recovery processes and generate 800 megawatts of electricity.
The change will also help reduce costs.
Suncor explained that replacing coke boilers with cogeneration units will reduce greenhouse gas emissions from the plant’s steam production by approximately 25%.
Emissions of sulfur dioxide and nitrogen oxides are also expected to be reduced by around 45% and 15% respectively.
The project is expected to be in service in the second half of 2023.