Shell is using wheat straw biofuel at service stations in Ottawa, Canada and the Le Mans race in France.

Shell has announced it is selling petrol blended with advanced biofuel made from wheat straw for the first time at one of its service stations in Ottawa, Canada.

It will mix the service station’s regular petrol with 10% cellulosic ethanol – produced from non-food raw materials sourced locally to the city – which contains 90% less lifecycle CO2 emissions than ordinary ethanol.

Dr Graeme Sweeney, Shell Executive Vice President Future Fuels and CO2, said: “I am excited we are leading the pack in cellulosic ethanol production technology and, with this event, showing what is possible in the future. While it will be some time before general customers can buy this product at local service stations, we are working with governments to make large-scale production economic.”

Iogen Energy Corporation, one of Canada’s leading biotechnology firms, is partnering Shell for this initiative and producing 40,000 litres of the biofuel every month.

Shell will also use this mixture of 10% cellulosic ethanol for the fuel at its Shell V-Power race at the 24 Hours of Le Mans race, in France on 13 June, 2009. Daniel Poissenot, Sport Vice President of Automobile Club l’Ouest (ACO), the Le Mans governing body said: “The use of advanced biofuels in both Shell V-Power gasoline and diesel race fuels at Le Mans highlights the role of the racing series in demonstrating new technologies.”

Shell is the world’s largest distributor of biofuels and works with other organisations to further developments of the fuel, such as its research collaboration with Cellana involving the use of marine algae for vegetable oil.