Biochar is a type of carbon like substance with a carbon content exceeding 75%, produced by the pyrolysis process of biomass.

Canadian oil and gas company Petrox Resources recently announced that it has signed a Memorandum of Understanding (MoU) with M&L Renewable Energy Group to develop a biochar facility in Edmonton, Alberta, and plans to develop similar factories in multiple locations in Canada.

M&L Renewable Energy Group, headquartered in Calgary, Alberta, and its partners focus on developing and applying clean and renewable biomass energy technologies to convert waste biomass from agriculture, forestry, and municipal sectors into biochar.

Alberta generates over 20 million tons of waste biomass annually from the agricultural, forestry, and municipal sectors that can be used for bioenergy production.

If utilized properly, this biomass resource can form the foundation of a vibrant industry and make a positive contribution to the economic and environmental well-being of Alberta.

Abandoned biomass power generation or fuel conversion technology provides important opportunities for Alberta to achieve its renewable energy goals, create employment opportunities, and revitalize rural communities in a low-carbon, circular economy.

The project aims to establish a facility for converting wood waste into biochar, and any steam/heat generated will be used for greenhouse, power generation, and other purposes.

According to the Memorandum of Understanding, Petrox will provide project development assistance to M&L Renewable Energy Group and will "work hard to assist" the company in raising funds for the initial biochar plant.

Petrox will also consider investing in the project in exchange for equity in the project.

M&L Renewable Energy Group will be responsible for obtaining land and raw materials for the project, providing equipment and materials for the biochar factory, obtaining all necessary permits and approvals for the project, and providing the necessary funding for the project.

The initial stage of the project is expected to have an annual production capacity of 3500 tons of biochar, with a capital investment cost of approximately 3.7 million Canadian dollars.