The company said it is currently carrying out a feasibility study to finalize the plant’s capabilities and design.
The plant has an initial targeted crush capacity of 2.5 million metric tonnes annually once operational in late 2024.
“Over the years we have made a number of strategic investments in Canada and we are excited at the potential opportunity to further enhance our processing business,” said Viterra CEO David Mattiske in a statement Monday.
“We look forward to leveraging our expertise at this new state-of-the-art facility, and connecting our customers to additional opportunities within our supply chain.”
The Saskatchewan government welcomed news of the plant, saying it will help toward its goal of crushing 75 per cent of the canola produced in the province.
“This significant announcement from Viterra — a grain company with proud roots here in our province that go back nearly a century — is good news for jobs and our world-leading agriculture sector in Saskatchewan,” Trade and Export Development Minister Jeremy Harrison said in a release.
“With the most innovative growers in the world, a burgeoning agriculture value chain, and competitive business environment, Saskatchewan is poised for strong export growth in canola oil and meal in the months and years ahead.”
Viterra said the plant will also play a key role in supplying the feedstock required for renewable fuel production.
The company said this is vital to help reduce greenhouse emissions.
“We are pleased to have the opportunity to pursue this substantial and historic investment in our asset network, which demonstrates our confidence in the future of western Canadian canola production, said Kyle Jeworski, CEO of Viterra North America.
“Through this project, we will be able to further leverage our strong relationships with farm customers and support Saskatchewan’s growth plan for expanded value-added processing capacity.”
It’s the second crushing plant announced for Regina in the last week.
On April 23, Cargill announced a $350-million plant with an annual capacity of one million metric tonnes. Cargill expects its new plant to be operational by 2024.
Cargill said it is also planning on updating and modernizing its canola plants in Camrose, Alta., and Clavet, Sask., over the next 12 months.
Last month, Richardson International Ltd. said it is expanding its Yorkton, Sask., canola crush plant.
Richardson said the expansion will double processing at the plant to 2.2 million metric tonnes annually.