RWE Innogy Builds World's Largest Biomass Pellet Plant to Feed Europe's Growing Appetite

The world's largest and most modern biomass pellet production facility is coming to the state of Georgia.

RWE Innogy (ETR:RWE) will invest nearly $170 million USD into the project.  The plant will have an annual production capacity of 750,000 tonnes.  Although manufactured in Georgia, the biomass pellets will initially be shipped to two coal power plants in the Netherlands.  At these plants, pellets have replace 30% of the fuel supply; there are plans to increase this number to 50%.

Eventually RWE is planning to extend the use of its biomass pellets into Germany, Italy, and the United Kingdom.

Biomass pellets require wood, and a lot of it.  Around 1.5 tonnes of fresh wood is required to produce 750,000 tonnes of biomass pellets.  This is why RWE chose, Georgia for the site of its pellet production facility, Georgia has a huge growth surplus of wood that is not used.

Dr. Hans Bünting, Member of the Board of Directors of RWE Innogy explained: “Through this new plant, RWE will be able to secure a supply of biomass at stable and competitive prices.  Due to the large surplus available, wood is much cheaper in the US than in Europe with its restricted wood land availability. Furthermore, Georgia is a region where forest management is being carried out in a sustainable manner – this fully meets our strict criteria for the production of biomass.”

Read the full story at Renewable Energy World:  World's Largest Pellet Factory Planned in U.S.