Due to be completed by November 2007, the expansion at the company's Nipawin, Saskatchewan plant is expected to increase its crush capacity and more than double its current refining capacity.
"This expansion will enable Bunge to better serve growing consumer demand for oils with a good nutritional profile like canola," said Herb Schafer, vice president of Bunge North America and country manager of Canada.
Bunge North America, the North American operating arm of Bunge Limited, currently has 17 oilseed processing facilities.
The Nipawin facility processes canola and rapeseed to produce oil used in the food industry. The company claims that the expansion will allow it to "fully refine all of the oil produced at the plant."
"Increasing our footprint in Canada fits our strategy of looking for opportunities to grow our business while increasing our efficiency and improving our ability to serve our customers," said Larry Clarke, general manager of Bunge North America's Oilseed Processing operations.
"We decided to expand in Nipawin because we have a talented base of employees and strong relationships with local growers and the surrounding community," he added.
Bunge currently supplies the food processor, foodservice and bakery industries with "specialized food ingredients" derived form its oilseed processing plants throughout North America.