ST. MARYS, ONTARIO--(Marketwire - June 27, 2012) - An investment of $1.86 million by the Government of Canada will help two Canadian businesses grow their operations and collectively create a total of 22 new jobs in St. Marys, where the companies will be converting egg by-products and industrial emissions into high-value goods. The announcement was made today by Gary Schellenberger, Member of Parliament for Perth-Wellington, on behalf of the Honourable Gary Goodyear, Minister of State for the Federal Economic Development Agency for Southern Ontario (FedDev Ontario).
"Our Government is proud to invest in these two innovative businesses, Perth County Ingredients and Pond Biofuels, which are contributing to the diversification of St. Marys' economy," said MP Schellenberger. "These contributions will enhance the overall competitive advantage of the region and lead to opportunities for job creation, growth and long-term prosperity."
FedDev Ontario's contribution of $947,500 through its Prosperity Initiative will allow Perth County Ingredients, a subsidiary of Vanderpol's Eggs, to purchase the equipment needed to produce a high-value pet food ingredient using by-products from eggs produced in southern Ontario. A second contribution of $908,280 through FedDev Ontario's Investing in Business Innovation initiative will help Pond Biofuels accelerate the commercialization of its technology used to capture carbon dioxide from raw stack emissions and produce algae that can subsequently be converted into biofuels.
"Egg protein has the highest biological availability and sets the standard by which other proteins are measured for pet food diets," said Mike Vanderpol, President, Vanderpol's Eggs. "This funding will help us expand our process to concentrate and purify this high-value protein to supply the growing market for quality pet food ingredients."
"Pond Biofuels is ecstatic to partner with FedDev Ontario to leverage public and private contributions from our angel investors," stated Steven Martin, CEO and Chief Scientist of Pond Biofuels. "The Investing in Business Innovation initiative will allow us to accelerate the commercialization of our technology towards an industrial scale CO2-to-algae facility."
For more information on these projects, the Prosperity Initiative and the Investing in Business Innovation Initiative, please see the backgrounder.
The investment announced today supports the Government of Canada's science, technology, and innovation agenda, which is focused on increasing the country's productivity, creating jobs and growing the economy.
Created in 2009, FedDev Ontario supports the southern Ontario economy by building on the region's strengths and creating opportunities for jobs and economic growth. The Agency has launched a number of initiatives to create a Southern Ontario Advantage and place the region in a strong position to compete in the global economy. These initiatives are designed to encourage partnerships and support projects that help the region's businesses and communities become more competitive, innovative and diversified. To learn more, please visit www.feddevontario.gc.ca or call 1-866-593-5505.
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This news release is available online at: www.actionplan.gc.ca.
Contributions to Perth County Ingredients and Pond Biofuels
FedDev Ontario is providing Perth County Ingredients with a repayable contribution of up to $947,500 through its Prosperity Initiative. Perth County Ingredients, a subsidiary of Vanderpol's Eggs, established operations in St. Marys in 2011. Through FedDev Ontario's investment, Perth County Ingredients will purchase equipment used to process egg by-products into a high-quality food additive under the name "OvaBind", which the company will market to animal and pet food manufacturers in southern Ontario and around the world. This contribution will allow the company to create an anticipated 13 full-time equivalent jobs, tripling the plant's workforce.
FedDev Ontario is providing Pond Biofuels with a repayable contribution of up to $908,280 through its Investing in Business Innovation initiative. In addition to this investment, $2 million in private-sector funding has been leveraged from a group of accredited angel investors belonging to SG Biomaterial Investments. Located in Toronto and incorporated in 2008, Pond Biofuels develops technology to produce alternative fuels using algae grown with industrial emissions. Through FedDev Ontario's investment, Pond Biofuels will complete the first phase of construction on its commercial-scale pilot demonstration plant in partnership with St. Marys Cement. This facility will allow the company to demonstrate that its technology can efficiently and cost-effectively offset harmful industrial emissions and create a high-value algae product that can be converted into fuel, such as bio-diesel. This investment will help Pond Biofuels accelerate the commercialization of its technology, attract new industrial partners, and reach global markets. It will also enable the company to create nine full-time equivalent jobs.
FedDev Ontario's Prosperity Initiative is designed to encourage businesses, not-for-profit organizations, and post-secondary institutions in southern Ontario to undertake projects that will result in a more productive, diversified, and competitive economy in the region.
Funding is available for projects that:
- enhance productivity by accelerating the adoption of new technologies, processes, and skills to enhance businesses and sectors in southern Ontario to achieve higher output in relation to their investments;
- diversify the regional economy by increasing the number of new industries or opportunities in southern Ontario communities or regions with the potential to have long-term impacts on their economic diversity; and
- build a competitive advantage for southern Ontario by building on the assets and strengths of southern Ontario businesses and regions to create or expand economic clusters and enhance their global competitiveness.
Investing in Business Innovation
Through Investing in Business Innovation, the Government of Canada is focusing on a portfolio of early-stage businesses that are recognized by the investor community as having the potential for high-growth and a net long-term economic benefit for southern Ontario. The potential of these businesses is measured by the investment commitments secured from accredited angel or venture capital investors.
Investing in Business Innovation is designed to boost private sector investment in start-up businesses to accelerate the development of new products, processes and practices. Under IBI, private sector investors must invest two dollars for every dollar invested by the Agency.
Funding under the initiative is also available for angel investor networks and their associations to attract new investment and support the growth of angel investment funds.
Applications for funding are being accepted and assessed on an ongoing basis. For more information and to apply, please refer to the program guidelines available on the website at www.feddevontario.gc.ca.