Satellite Pellet Mills Will Count On Sawmill Byproducts
Drax Group will begin constructing the first of three new “satellite” pellet plants in Arkansas, the company has announced.
The three plants are together expected to produce around 120,000 metric tons of sustainable biomass pellets a year from sawmill residues, supporting the renewable energy company’s plans to increase self-supply to its power station in the U.K.
Drax will begin construction of the first plant later this month near a West Fraser sawmill in Leola, Grant County—with commissioning expected in October. The company will begin construction on two more plants in other locations in the coming months. In total, Drax will invest $40 million in the state, creating approximately 30 new direct jobs and many more indirect jobs across three Arkansas communities.
The development of the “satellite” pellet plants is part of Drax’s strategy to increase biomass self-supply to five million tons by 2027, improving supply chain resilience while reducing pellet costs.
Will Gardiner, Drax Group CEO, comments, “By building these new pellet plants Drax is bringing jobs and opportunities to rural communities in Arkansas, boosting the state’s post-COVID economic recovery. Through this investment, Arkansas will play an important role in combating climate change, supporting Drax to increase the amount of sustainable biomass we produce as part of our plans to pioneer bioenergy with carbon capture and storage. By using sustainable biomass, we have displaced coal-fired power generation, reduced carbon emissions and provided renewable electricity for millions of homes and businesses in the UK.”
The Leola satellite pellet plant is expected to produce around 40,000 metric tons of sustainable biomass pellets a year. Drax will utilize the sawdust and other dry residual materials from West Fraser’s co-located facility. By co-locating the pellet facilities with sawmills, Drax will benefit from lower infrastructure, operational and transportation costs.
The company will host job fairs to recruit for positions at the Leola site later this month.
RELATED ARTICLES
Latest News
North American Lumber Prices Surge As Sawmills Run Short
Worldwide demand for North American hardwoods climbed faster than supply in October and lumber prices followed suit. Many concentration yards were low on both kiln-dried lumber to sell and green lumber to put in dry…
Ohio’s Carter Lumber To Close 26 Stores, Focus On Growth In Larger Markets
Kent, Ohio based Carter Lumber announced that it was closing 26 stores as the building materials supplier focuses on growing in its larger markets. The 26 stores are in 23 markets — including one store…
Shuttered B.C. Sawmills Cause Unseasonal Spike In Lumber Prices
Lumber traders struggled back to their desks Monday morning after an epic North American Wholesale Lumbermen’s Association AGM in Las Vegas, NV, last week to discover very weak field inventories, rising lumber prices and continued…
Find Us On Social
Newsletter
The monthly Timber Processing Industry Newsletter reaches over 4,000 mill owners and supervisors.
Subscribe/Renew
Timber Processing is delivered 10 times per year to subscribers who represent sawmill ownership, management and supervisory personnel and corporate executives. Subscriptions are FREE to qualified individuals.
Advertise
Complete the online form so we can direct you to the appropriate Sales Representative.