An alternative energy company, Viridis Energy and a major producer of wood pellets in British Columbia have signed a multi-year off-take contract, which is worth nearly $15.5 million.
As per the agreement, Okanagan Pellet Company, Viridis’ facility located in Kelowna, BC, will ship wood pellets of approximately 166,000 tonnes to Europe through 2014.
According to the terms of the contract, at least 22,000 tonnes of wood pellets have to be shipped in 2011 and 48,000 tonnes have to be delivered from 2012 to 2014. In the past two years, the wood pellet exports to Europe have increased twice, reaching 1.6 million tonnes in 2010.
Chris Robertson, CEO of Viridis, commented that the growing interest for renewable energy resources in the society is boosting the demand for wood pellet, the most consistent renewable biomass. He added that the contract will increase the company’s revenue from 2011 to 2014. The company is focusing to become a major source of high-quality renewable energy products and is concentrating on reliable, quality and sustainable raw materials like beetle-kill pine wood, Robertson said.
Source: http://www.viridisenergy.ca/