Canadian Biomass Magazine

CHAR Tech, Lake Nipigon Forest Management sign partnership agreement

March 20, 2024
By Canadian Biomass Staff

Photo: CHAR Tech

CHAR Tech has formalized a partnership agreement with the First Nations co-operative Lake Nipigon Forest Management Inc. (LNFMI), marking what it called a “a significant milestone for both parties as they advance forestry sustainability programs in Northern Ontario.”

The partnership — Lake Nipigon Forest Sustainable Energy Solutions — builds upon the foundation laid by the Memorandum of Understanding (MOU) signed in April 2023, it said.

LNFMI is a forest management co-operative comprised of four local First Nation Communities who hold the Sustainable Forest License (SFL) on the Lake Nipigon Forest:

  • Animbiigoo Zaagi’igan Anishinaabek
  • Bingwi Neyaashi Anishinaabek
  • Biinjitiwaabik Zaaging Anishinaabek
  • Red Rock Indian Band

The Partnership will continue advancing development of the jointly-owned facility modeled after CHAR Tech’s flagship facility in Thorold, Ont. The project is projected to annually produce 500,000 gigajoules of Renewable Natural Gas (RNG) and 10,000 tonnes of biocarbon and begin operations by 2026, it said.

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Fiber harvest

Under the Agreement, LNFMI will oversee the annual wood fiber harvest from the Lake Nipigon Forest, ensuring CHAR Tech’s wood waste feedstock supply for the wood waste-to-renewable energy (RNG and biocarbon) facility. The Partnership supports initial production goals and paves the way for significant scalable expansion beyond CHAR Tech’s Thorold revenue capacity.

“LNFMI has come a long way from the forestry downturn 15 years ago. It was the four First Nation partners who kept this company afloat during the hard times, and LNFMI is now overseeing one of the most productive forests in the province,” said Scot Rubin, CEO of LNFMI. “Through this new partnership and RNG initiative, our First Nation shareholders will see employment, contracting opportunities and steady revenue streams for years to come, all while being a part of the clean energy future in the north.”

Andrew White, CEO of CHAR Tech, emphasized the significance of the partnership, stating, “It is gratifying to be working with a partner like LNFMI who shares our vision of driving waste-to-renewable energy solutions. This project will set a good example for future successes in the region and will reveal the value that resides in undesirable and unmarketable wood waste products of traditional harvest systems.”

Government support

Also supporting regional development has been the Ontario Government’s Forest Biomass Program’s Indigenous Bioeconomy Partnerships funding stream. In January 2023, LNFMI was awarded an investment of $200,000 to support formalizing the LNFMI and CHAR Tech partnership for the Lake Nipigon Forest Sustainable Energy Solutions RNG and biocarbon production facility.

Graydon Smith, Ontario Minister of Natural Resources and Forestry, added, “We welcome this investment in LNFMI to support formalizing the partnership with CHAR Tech, a company leading forest biomass innovation and clean fuel production in Ontario. Through our Forest Biomass Program’s Indigenous Bioeconomy Partnerships funding stream, Ontario is ensuring that forest sector growth builds prosperity for the four Indigenous shareholders of LNFMI, other Indigenous communities and businesses.”

Quick facts

  • March 2024, CHAR Tech awarded $5.2 million from the Government of Canada’s Natural Resources Canada Clean Fuels Fund;
  • July 2023, closed a C$6.6M strategic investment by world’s leading steel and mining company, ArcelorMittal S.A., through ArcelorMittal’s XCarb® Innovation Fund.
  • Dec 2022, The Government of Canada has previously announced $4,938,168 through the Investments in Forest Industry Transformation program and $1,500,000 through the Federal Economic Development Agency for Southern Ontario Jobs and Growth Fund and;
  • December 2022, The Government of Ontario has previously announced $6,438,168 through the Forest Sector Investment and Innovation Program.


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