Manitoba Government Signs Memorandum of Understanding for New AirCarbon Manufacturing Facility

Alyssa JonassonAnnouncements

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Project Would Create up to 1,100 Jobs, Make Major Environmental Impact: Wharton, Klein

To expand Manitoba’s manufacturing sectors, generate economic growth and advance environmental sustainability, the Manitoba government has signed a memorandum of understanding (MOU) with Newlight Technologies Inc. to establish a state-of-the-art AirCarbon manufacturing facility in Manitoba, Economic Development, Investment and Trade Minister Jeff Wharton and Environment and Climate Minister Kevin Klein announced today.

“Manitoba is emerging as the preferred destination for innovative businesses like Newlight, and today’s milestone is proof that innovative partnerships between government and industry can drive our economy forward while combating climate change,” said Wharton. “Companies from around the world are discovering the advantages of investing in Manitoba. This new plant will produce advanced materials made from greenhouse gases that will reduce carbon emissions, generate economic growth and create new highly skilled jobs for Manitobans.”

Newlight Technologies Inc., based in California, uses greenhouse gas to make a high-performance material called AirCarbon, a biomaterial used in fashion, foodservice, and automotive industries. This material is meltable and mouldable, similar to that found in the plastics and materials market. The project, constructed in phases, would represent an investment of up to US$1.1 billion when fully developed. During construction, the proposed plant would create approximately 1,100 jobs and 80 full-time jobs when operational, Wharton noted.

“This project will not only create more good green jobs, but will also advance the goals of our government to further reduce emissions while continuing to sustainably grow our economy,” said Klein. “Partnerships like this work to protect our natural environment and preserve Manitoba’s status as one of the greenest and most environmentally responsible economies in the world.”

Under the MOU, Newlight will undertake the project design process, undergo a site selection review and present a development and business plan to the Manitoba government that includes capital structure, required infrastructure, and source of capital. The Manitoba government will assist Newlight by making the company aware of regulatory and licensing requirements, and support applications under various federal and provincial economic stimulus programs for research and development, training incentives, manufacturing and green energy equipment investments, and construction costs.

“Manitoba is a leader in advancing economically sustainable environmental processing, and we are thrilled to work with the Manitoba government to help expand AirCarbon manufacturing in the province,” said Mark Herrema, CEO, Newlight Technologies Inc.

The Newlight project aligns with the Opportunities for Economic Growth Action Plan, a comprehensive sets of tangible, focused and strategic actions that the Manitoba government is advancing in partnership with stakeholders and the private sector to advance climate goals, while supporting technological advancements and economic prosperity, Wharton noted.

In 2021, the advanced manufacturing sector contributed $6.2 billion to the province’s total gross domestic product and employed more than 35,000 Manitobans.

To view the Opportunities for Economic Growth Action Plan, visit Manitoba.ca/economicgrowth.

For more information on Manitoba’s competitive business advantages, visit Manitoba.ca/InvestMB.

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