Tuesday, June 17, 2008

Port of Prince Rupert may benefit from Prince George pellet plant


The ravages of the pine beetle epidemic have given birth to a fast growing if temporary industry of harvesting the damaged wood for a variety of projects, one of which could see an increase in shipments through the Port of Prince Rupert.

Pinnacle Pellet, a Central Interior company based out of Quesnel, is working on contracts that could lead to the shipment of wood pellets destined for Ridley Terminals from a new pellet facility outside of Prince George.

The Monday Daily news had details on the story.

Rupert port could be in line for pellet shipments
BY CARLA WINTERSGILL
The Daily News
Monday, June 16, 2008
Pages three and five

A new wood pellet factory outside of Prince George could mean extra activity for the Prince Rupert port.

Pinnacle Pellet has a brand new plant that is scheduled to open in July and although nothing is definite yet, the extra pellets could be coming this way.

"We've had great support from Prince Rupert and the Ridley terminal facility and it's exciting to be a part of Prince Rupert's growth," senior Pinnacle Pellet official Peter Brand said.

"I wish we could get more of our pellets in containers and ship them that way. I think that will come in the future."

The highest demand for wood pellets comes from outside North America. Most are usually shipped to Europe or Asia.

“We’re actually talking to a number of potential customers right now,” said Brand.
As for exactly where they will be going and how much the shipping volume will increase, Brand says at this point it is premature to speculate.

The other opinion is to keep the pellets in North America, and with rising fuel costs, it’s thought that the demand for wood pellets in Canada will soon increase as well.

“We’re not in the forest product business when we’re in the wood pellet business,” said John Swaab, executive director of the Pellet Association of Canada. “We’re in the energy business”
Unusable dead pine left over from the pine beetle epidemic can be converted into millions of pebble-sized pieces that can then be used as a source of energy. Brand said that the amount of standing dead pine could transform into 150 million tones of wood pellets.

“We’re taking unmanageable wood residue and refining it into a controllable, concise product for energy purposes, said Swaab.

Because it is more dense than sawdust or wood shavings, it is easier to ship. Swaab notes that there is a misperception that burning wood produces air pollution.

He said that pellets are a clean-burning fuel. Also, the wood fuel is considered carbon neutral.
For Swaab, wood pellets seem like the perfect solution for the acres of dead trees caused by the pine beetle epidemic.

“If we can’t utilize them, at the end of the day we can always use it for energy,” he said.

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