Biofuels Wed, 13 Dec 2017 14:00:02 +0100 Joomla! - Open Source Content Management - Version 2.5.20 en-gb Södra commences biofuel production

Södra will invest more than SEK 100 million in the production of biomethanol, a sustainable fuel from forest raw material. The project will commence in autumn 2017 and is scheduled to be ready for operation by spring 2019.

The aim is to produce 5,000 tonnes of biomethanol per year at the new facility to be situated at Södra’s pulp mill at Mönsterås. The long-term aim is to further increase production for passenger, truck and ship transport.

“More and more people are realising why we need to switch to fossil-free alternatives, but products must also move forward. We have access to the best and most renewable raw material available – forests. We also have the industrial expertise required for these types of complex and innovative products,” said Catrin Gustavsson, Senior Vice President of Innovation and New Business at Södra.

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The biomethanol will be made from the crude methanol produced by the manufacturing process at Södra’s pulp mill. It will be part of the circular process that already exists at Södra’s mills, in which all parts of the forest raw material are used for the best possible effect. The first delivery will reach the market in spring 2019.

“If Sweden is to achieve the fossil-free climate targets, there must be viable alternatives to the fossil-fuel products that are currently available. This will be a major milestone in that development. It’s also in line with Södra’s own strategy to be totally fossil-free by 2030,” said Henrik Brodin, Business Developer for fuels at Södra.

Södra’s biomethanol is produced entirely from forest raw material, which means that fossil carbon emissions from burning are zero.  The production process does, however, account for a marginal fossil carbon emission at present. From a climate footprint perspective, replacing fossil fuel with Södra’s biomethanol will reduce CO₂emissions by about 99 percent – the highest percentage in the market today.

Södra was founded in 1938 and is the largest forest-owner association in Sweden, with a membership of more than 50,000 forest owners. We engage in modern and responsible forestry, and operate state-of-the-art mills in which we process our raw material. Through value-generating relationships and a long-term approach, Södra is leading the way for the next generation of forestry.

]]> (Administrator) Biofuels Tue, 05 Sep 2017 11:10:06 +0200
Forest Fuels appoints renewables specialist, Kevin Smith as sales and marketing director

Forest Fuels, the country’s leading supplier of premium grade and RHI compliant wood pellet and wood chip, has announced the appointment of renewables specialist, Kevin Smith, as sales and marketing director.

This new board level position underpins the company’s ambitious plans to strengthen the service levels and exemplary customer care it brings to the market for wood fuel supply and biomass boiler servicing across the UK.

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Speaking about his appointment, Kevin said, “I’m absolutely delighted to be on board. It’s a fantastic opportunity to grow the business and take it to the next level. I’m really looking forward to being part of the team and playing my part in that continued success.”

Kevin’s experience includes working for the high profile Mark Group, following a substantial career with East Midlands Electricity, Powergen and E.ON. During this time Kevin was engaged within various management roles and areas of the business including Business Development, Contract Management, Sales & Marketing, CRM, Performance Improvement, Construction, Engineering and Electrical.

Key to Kevin’s selection for Forest Fuels was his customer-centric approach; building lasting and mutually beneficial relationships and taking the partnership approach with customers for the ‘end to end’ management and delivery of rewarding, long-term business success.

Kevin’s experience in business development, coaching, relationship, contractual and project management will benefit all of the customer team.

Forest Fuels managing director, Peter Solly, said, “Our plans to grow and develop what we offer our customers is really pushed up a gear with the creation of this new position within the business and we could not have wished for someone with a better pedigree and track record to make the role their own. We’re certain that all of our team will benefit from Kevin’s vast knowledge and experience within the sector and we’re sure that his impact will be felt in the marketplace straight away”.

Kevin hails from and still lives in Leicestershire. A family man at heart, his spare time is taken up by his role as chairman of his local football club and he still turns out regularly for Blaby and Whetstone, who play in the Leicester Sunday Alliance League.

To find out more about Forest Fuels, the services on offer and their long-standing commitment to providing exceptional quality wood chip and pellet, visit the website:

About Forest Fuels 

Multi-award winning supplier of premium wood pellet and wood chip, fully funded and maintained commercial biomass installations with no upfront costs and pioneers of innovative remote fuel usage monitoring systems. 

  • Founded in 2006 
  • Woodsure and ENplus Trader accredited 
  • Registered on the government’s Biomass Suppliers List (BSL) 
  • Headquartered in Okehampton with 44 depots and 3 regional offices in Telford, Leicestershire and Sheffield 
  • In-house RHI consultancy and expert advice 
  • Leaders of commercial boiler buy-back scheme 
  • Energy Supply Contract specialist (ESCos) 

Owned by Aggregated Micro Power Holdings plc (AMP) specialist providers of distributed energy projects and sustainable biomass installations on long term renewable energy contracts

]]> (Administrator) Biofuels Fri, 02 Jun 2017 08:06:49 +0200
Mercer International Inc. to Acquire One of Germany's Largest Sawmills and a Bio-Mass Power Plant

2017-03-06 101042Mercer International Inc. (Nasdaq:MERC) (TSX:MERC.U) has just announced that it has entered into an agreement to acquire substantially all of the assets of one of Germany’s largest sawmills and a bio-mass power plant, near Friesau, Germany (the "Friesau Facility") for approximately $55.1 million plus defined working capital of approximately $9.0 million.

Friesau Facility Highlights

The Friesau Facility:

  • has an annual production capacity of approximately 550 million board feet (mmfbm) on a continuously operating basis and 465 million mmfbm on a customary three-shift operating basis;
  • includes a modern bio-mass fueled cogeneration power plant, built in 2009, with an annual production capacity of approximately 13MW of electricity and 49.5MW of thermal energy. The plant sells electricity pursuant to a long-term fixed price green power tariff that runs to 2029;
  • includes two log de-barking and sorting lines, two Linck primary breakdown lines, lumber kilns capable of matching sawmill production, and a two-line planer mill;
  • has an experienced workforce of approximately 300 employees; and
  • is located approximately 16 kilometers west of our Rosenthal mill and has historically been one of its largest fiber suppliers.

Selected Historical Financial Information

Based upon its historical unaudited financial information, over its last three fiscal years, we believe the Friesau Facility had average annual:

  • revenues of approximately $180 million;
  • lumber production of approximately 320 mmfbm;
  • energy sales of approximately $10 million; and
  • EBITDA of approximately $13 million, comprised of approximately $9 million from lumber operations and approximately $4 million from energy sales. See "Non-GAAP Financial Measures" below.

Potential Operating Synergies

We believe the acquisition of the Friesau Facility presents the following potential operating synergies and opportunities:

  • operating synergies in the range of $4 to $7 million per year, primarily relating to the sharing of wood and bio-mass fuel resources and the optimization of staffing and services with our Rosenthal mill. We currently expect to achieve about one-third of such synergies within 12 months of closing and the balance over the following 6 months;
  • the opportunity to materially increase lumber production particularly at the start of 2018; and
  • the opportunity to reduce costs and improve sales realizations at the Friesau Facility through targeted capital upgrades.

Recent Production and Ramp-Up

Over the last two years, the Friesau Facility has been operated by its owner on a restricted basis at a level below 50% of capacity.  While we intend to ramp-up production upon closing, in the mill's fibre region, major sawlog contracts are generally awarded on a yearly basis.  As a result, we expect such production ramp-up to be materially increased commencing at the start of 2018. After such ramp-up, we currently expect to operate the Friesau Facility to produce between 300 and 330 mmfbm of lumber per annum. During the initial integration period of the Friesau Facility, which we estimate will take about 4 to 6 months, we do not expect the acquisition to contribute to our earnings. 

The transaction is subject to customary closing conditions, including receipt of requisite regulatory approvals, and is expected to complete around the beginning of the second quarter of 2017.

Mr. David M. Gandossi, Chief Executive Officer, stated: "We are pleased to enter the European lumber sector, with the acquisition of one of Germany’s largest sawmills. The proposed acquisition also expands our existing presence in the bio-mass based electricity market and is in line with our long-term growth objectives. 

Mr. Gandossi continued: "This acquisition leverages our core competencies of wood procurement, production optimization and green energy production. We believe it presents a natural fit with our existing procurement activities and our expertise in bio-mass based electricity production."

Mr. Gandossi concluded: "We look forward to welcoming the Friesau Facility's employees to our team and working with them as we integrate its operations."

Mercer International Inc. is a global pulp manufacturing company. To obtain further information on the company, please visit its web site at

]]> (Administrator) Biofuels Mon, 06 Mar 2017 10:09:33 +0100
Södra’s nursery in Falkenberg to become fossil-free

Södra is investing SEK 6 million in its Falkenberg nursery. The investment will result in a new greenhouse and means the facility will take another step towards fossil-fuel independence.

The investment is in line with the sustainability targets set by Södra earlier in the autumn, one of which was that Södra’s production is to be fossil-free by 2020 and transport activities are to be fossil-free by 2030. The new greenhouse in Falkenberg is one step on this path.

“I am very happy that we are further realising our efforts through this investment,” said Johan Jonsson, Head of Södra Skogsplantor. “We have so much to contribute on climate issues and in the shift to a fossil-free society. This clearly shows how we as a company can take part in and lead the way in this transition.”

The new fossil-free greenhouse will replace two old, end-of-life greenhouses, and is more energy efficient, reducing energy consumption by about 25 percent. Parts of operations in Falkenberg have already transferred to fossil-free operation, such as the production of PluggPlusEtt seedlings*. During the autumn, two gas boilers have also been replaced with a larger pellets boiler for heating staff facilities and a production hall.

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Work on the new greenhouse will begin during the winter months, and it is expected to be operating next summer. When next year’s investments are complete, then 95 percent of operations will be fossil-free. The final stage is another greenhouse in Falkenberg to replace the old greenhouses that still use gas heating. This is scheduled for 2018-19.

Södra’s nursery in Flåboda has been completely fossil-free since 2015.

“It’s a long-term project to make production fossil-free. You must be prepared to work patiently, and constantly look for new solutions,” said Johan Jonsson. “Work in Flåboda took six years and we are constantly diligent to remain fossil-free there. We are now taking the next step with the nursey in Falkenberg.”

* The PluggPlusEtt seedlings have been developed by Södra and are initially grown in a pot and later transplanted to arable land. These are robust seedlings that are primarily planted on land where land preparation is not possible for some reason.

Södra was founded in 1938 and is the largest forest-owner association in Sweden, with a membership of more than 50,000 forest owners. We engage in modern and responsible forestry, and operate state-of-the-art mills in which we process our raw material. Through value-generating relationships and a long-term approach, Södra is leading the way for the next generation of forestry. 

]]> (Administrator) Biofuels Tue, 20 Dec 2016 18:53:01 +0100
UNTHA optimises WtE production and metal recycling at Turkish paper mill

An UNTHA shredder is now fully operational in Turkey’s first solid waste incineration plant.

The single step XR3000C has transformed Modern Enerji’s approach to metal recycling, at the same time as boosting the production of Refuse Derived Fuel (RDF).

The XR installation came about when Modern Enerji – part of Eren Holdings – sought a more effective technique for shredding its high calorific material stream.

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The team had been processing pulper ropes from the neighbouring paper mill, operated by sister-company and Turkey’s largest corrugated fibreboard producer, Modern Karton. When handled effectively, pulper rope waste provides a perfect RDF feedstock. However, this notoriously complex bi-product of paper manufacturing is not easy to shred, and insufficient technology was holding Modern Enerji back.

The XR3000C – a single-step RDF shredder – has therefore replaced two dual-shaft machines that had previously struggled to separate metals from the multifarious blend of plastics and paper.

With a three metre cutting chamber and two knife rows, the XR can now handle six tonnes of pulper ropes and 10 tonnes of pre-shredder paper reject per hour. The result, in one sophisticated operation, is the newfound production of a high quality, 50mm RDF for Modern Enerji’s own power generation, and the segregation and extraction of saleable metals for recycling. 

Commenting on the project, UNTHA’s waste to energy specialist Andreas Neureiter said: “Modern Enerji is one of Turkey’s most renowned brands when it comes to sustainable thinking and environmentally progressive electricity generation. It’s therefore no surprise that, at the same time as producing power for the country, the team is constantly evaluating how to improve the efficiency of their waste handling, recycling and alternative fuel production.

“They first approached us for a secondary shredder that could help clean the metal out of their processed pulper ropes. But our response was, why run two or more machines, when you can achieve your desired output in a single step? We invited them to trial our technology in Austria, using an equivalent material stream, and the results proved our concept.”

Commissioned in late spring, the XR has now been operational in this northwestern city of Corlu for four months, and is projected to handle 45,000 tonnes of waste per year.

]]> (Administrator) Biofuels Thu, 01 Dec 2016 10:55:33 +0100
Great results from testing UPM’s wood-based diesel in buses

UPM has successfully tested Finnish wood-based diesel fuel both in laboratory conditions as well as in traffic. The tests clearly demonstrated that UPM's renewable diesel, UPM BioVerno, works just like the best diesel fuels.

The laboratory tests of renewable UPM BioVerno diesel were conducted in the VTT Technical Research Centre (VTT) and field tests in Helsinki region bus traffic together with Helsinki Region Transport (HSL). The year-long bus field tests' measurements were done by VTT, and the tests were also supported by Transdev Finland Oy, Volvo and St1. 

The first laboratory tests were done with Euro III Class buses, which are still widely used on Finnish roads even today. UPM BioVerno diesel produced clearly lower emissions than fossil diesel. Compared to other advanced fuels, the emissions of UPM BioVerno diesel were at least as low as theirs.

"The use of UPM BioVerno diesel in the current bus fleet instead of fossil diesel would lower emissions from public transport significantly. This is good news as this Finnish wood-based fuel could immediately – and positively - affect the air quality in the Helsinki region," says Sari Mannonen, Vice President of UPM Biofuels.

UPM BioVerno bus tests HSL bus

UPM BioVerno diesel worked well in year-long bus field tests

The field tests with buses were conducted by Transdev Finland on a regular bus route between the city of Kerava and Helsinki using four identical Volvo Euro VI Class buses that have low emissions and efficient engines. The test runs were done using 20%, 50% and 100% UPM BioVerno diesel and St1 was the fuel logistics provider in the tests.

According to test results, UPM BioVerno diesel is working very well in all blending ratios – just like the best diesel fuels – and fuel consumption was exactly the same. Together the four buses travelled some 400,000 km without any fuel-related incidents.

The Euro VI Class buses are equipped with diesel particulate filters (DPF) and selective catalytic reduction (SCR) catalysts which are capable of reducing emissions to a negligible level, so the tests did not show any significant differences in emissions between various fuels. In Euro VI Class engines the fuel affects the emissions mainly indirectly: high quality fuel, such as UPM BioVerno, guarantees that the exhaust cleaning systems operate effectively even after driving significant mileage.

"We are happy with the test results – they show that UPM BioVerno could fully replace fossil diesel in current bus traffic. Biofuels have a significant role in our company's targets, as we are aiming for carbon-free public transportation in the Helsinki region," says Reijo Mäkinen, head of the Traffic Services department in HSL.

The bus field tests were part of a larger BioPilot project coordinated by VTT. The goal of the project was to encourage companies to commercialise renewable energy solutions in traffic.

"Advanced biofuels are a tested, well-functioning solution and a great opportunity for Finland. They could be our fast track to low emission traffic as they could be taken into use immediately and clearly cut down the emissions," says Research Professor Nils-Olof Nylund from VTT.

HSL and VTT have started the BioSata project, which is a natural continuum for the BioPilot project which has now ended. The new project is proceeding to application phase and its target is to raise the level of biofuels used in HSL bus traffic up to 70-90% before the end of this decade.

Innovative renewable diesel from Finland

UPM's renewable diesel, known as UPM BioVerno, is an innovation that will reduce greenhouse gas emissions by up to 80% and tailpipe emissions significantly when compared with fossil fuels. This high quality biofuel is produced from a residue of the pulp industry, crude tall oil. UPM BioVerno is an ideal fuel for all diesel-powered vehicles.

UPM started the production of wood based renewable diesel in the UPM Lappeenranta Biorefinery in January 2015. The production capacity of the biorefinery is 120 million litres of renewable diesel annually. UPM BioVerno has been granted a Finnish Key Flag Symbol which can be granted to products that are manufactured in Finland and have a domestic origin degree of over 50%.

]]> (Administrator) Biofuels Wed, 30 Nov 2016 08:26:42 +0100
SKF technology keeps Metsä Group’s pioneering bioproduct mill moving forward

With SKF providing cutting edge lubrication technology, the world's first next generation bioproduct mill from Metsä Group will operate reliably and efficiently, as well as sustainably.

SKF’s industry leading lubrication technology and system engineering support is being used to help ensure optimal operational performance on the world's first next generation bioproduct mill. The groundbreaking mill, which is being built by Metsä Fibre, part of Metsä Group, in the Finnish town of Äänekoski, will use 100 per cent of the raw materials and run solely on renewable energy.
skf logoThe new mill is the largest ever single investment in the nation’s forest industry at approximately €1.2 billion and it is a major step forward in the development of sustainable production processes as it will produce significantly more electricity than it will need. It is expected to process 6.5 million cubic metres of wood into 1.3 million tonnes of pulp, with the remaining biomass and side streams being used to make high value bioproducts, including tall oil, turpentine, bioelectricity, process steam, district heat and wood fuel.
SKF was selected to supply lubrication systems – mainly dual-line grease lubrication devices – for about 3,000 lubrication points on the bioproduct mill. It is also providing specially developed, new generation lubrication control centres with mobile access to ensure maximum efficiency and reliability when the mill goes into operation in the third quarter of 2017.
Ossi Puromäki, Project Services Director at Metsä Fibre, said: “The new bioproduct mill is a step towards a world that is no longer dependent on fossil resources. Thanks to innovative technologies and support from trusted partners like SKF, we have been able to realise that ambition and satisfy the growing global demand for softwood pulp through sustainable means.”
Erkki Kemppainen, OEM Sales Manager at SKF’s Lubrication Business Unit, said: “Building on a relationship that already spans decades, we are proud to see our proven lubrication technologies in this state-of-the-art bioproduct mill that is transforming the face of the pulp, paper and wood production industry. Getting involved early in the process has allowed us to deliver a high performance, user friendly system that will support the mill as it manufactures products and produces energy.”

SKF is a leading global supplier of bearings, seals, mechatronics, lubrication systems, and services which include technical support, maintenance and reliability services, engineering consulting and training. SKF is represented in more than 130 countries and has around 17,000 distributor locations worldwide. Annual sales in 2015 were SEK 75 997 million and the number of employees was 46 635.   

® SKF is a registered trademark of the SKF Group.

]]> (Administrator) Biofuels Thu, 20 Oct 2016 09:48:05 +0200
Pöyry challenges forestry sector to unlock benefits of forest carbon

A new Pöyry Point of View explores market based forest carbon solutions that are emerging to help mitigate climate change.  The article, ‘Unlocking the benefits of forest carbon ’, outlines how the Paris climate agreement has been a catalyst for companies to increase climate change mitigation and sustainability initiatives. New solutions are found in forest carbon by combining climate benefits with sustainable forest management and material solutions.

poyPetteri Pihlajamaki, Head of Forestry and Biomass Consulting at Pöyry, states,

The era of climate consciousness has set a precedent for new, more ambitious, climate actions. Forest carbon is set to play an important and exciting role in the effort to combat climate change by contributing to sustainable forest management and providing wood-based material solutions which are generally more sustainable. Companies in the forestry sector and wider value chain can therefore make a critical contribution towards climate change mitigation.”

The article argues that enhancements can be achieved in existing forests often with minimal changes and without the need for significant investment. The optimisation process relies on a variety of considerations such as the forest type, desired time frame, and carbon impact but all forest growers stand to make improvements in this area.  

Afforestation and reforestation are also opportunities identified by the article for carbon mitigation with an estimated 300 million hectares of land that could be used for wood and biomass production without threatening food security. The article uses the hypothetical scenario that each EU citizen would need to plant one thousand trees to compensate for their annual CO2 emissions to highlight why replanting forests must be a priority.

Pihlajamaki continues,

Forest carbon is not just a consideration for forest owners. Further down the value chain, brands that are keen to improve their sustainability performance can look to new forest carbon solutions in addition to materials substitution to help mitigate climate change. The use of sustainable biomass in energy to displace fossil fuels is another well known opportunity.”

The article outlines how, traditionally, climate change has not been a key criteria for decision making in the private sector, as companies have chosen to place a higher focus on consumer preferences, brand management, cost efficiency, performance, safety and regulations. However, climate benefits and sustainability are becoming integral parts of these aspects and the private sector is adapting to include them. Consumers are also becoming increasingly conscious of climate change, and many of them are seeking sustainable products and services.

About Pöyry

Pöyry is an international consulting and engineering company. We serve clients globally across the energy and industrial sectors and provide local services in our core markets. We deliver management consulting and engineering services, underpinned by strong project implementation capability and expertise. Our focus sectors are power generation, transmission & distribution, forest industry, chemicals & biorefining, mining & metals, transportation and water. Pöyry has an extensive local office network employing about 6,000 experts. Pöyry's net sales in 2015 were EUR 575 million and the company's shares are quoted on Nasdaq Helsinki (Pöyry PLC: POY1V).

]]> (Administrator) Biofuels Mon, 12 Sep 2016 08:35:51 +0200
Valmet to supply biomass-fired power boiler, biofuel storage and conveyor systems to HOFOR power plant in Denmark

Valmet and HOFOR Energiproduktion A/S have signed a contract regarding delivery of a biomass-fired boiler plant and related biofuel storage and conveyor systems to HOFOR's Amagerværket heat and power plant in Copenhagen. The new power plant will supply electricity and heat for the needs of the city of Copenhagen.
The order is included in Valmet's third quarter 2016 orders received. The value of the order is over EUR 150 million.

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Illustration of the future Amagerværket heat and power plant in Copenhagen. Architect: Gottlieb Paludan Architects

"The HOFOR biomass plant will be by value Valmet's largest boiler plant delivery so far. We have been able to use experiences from earlier similar type of projects in the design. The plant will fulfil tightening environmental requirements by utilizing efficient firing technique. This is an important order for our energy business and we estimate the employment impact to be about 1,000 man years including both Valmet's own and subcontractors' work. For Valmet the main employment impact will be in Tampere and Ulvila in Finland," says Bertel Karlstedt, President, Pulp and Energy business line at Valmet.
The investment will support the climate plan of Copenhagen, according to which the city aims to become the first CO2-neutral capital in the world by the year 2025. Installation of the power plant is scheduled to begin in July 2017, and the heat and power production will start in 2019.
The boiler plant to be supplied by Valmet will help to reduce CO2-emissions from the plant by a total of 1.2 million tons annually. "The investment supports HOFOR's strategy to reduce CO2 emissions through environmentally friendly and cost-efficient district heat production," says Carsten Schneider, Project Director at HOFOR.
Technical information about the delivery
Valmet's delivery includes a 500 MWf CYMIC boiler that uses circulating fluidized bed (CFB) technology, the district heat capacity of which will be 415 MJ/s. The power plant's net electricity production capacity will be approximately 150 MW. The boiler will use a total of 1.2 million tons of sustainable wood chips per year. The new boiler plant will replace an old 600 MW coal-fired plant, the operation of which will end after the start-up of the new plant.
Additionally Valmet's delivery includes biofuel storage and conveyor systems, the capacity of which will be 105,000 cubic meters. The conveying system will feed the boiler with 900 cubic meters of wood chips in an hour, which corresponds to one 18 meters long trucks with biofuel every six minutes, 24 hours per day.

Information about the customer HOFOR
HOFOR is the largest utility company in Denmark with more than one million customers in the greater Copenhagen area. The company pays special attention to sustainable deliveries and renewable energy in its operations.
In co-operation with a number of larger European energy companies HOFOR participates in developing requirements regarding biomass acquisition under Sustainable Biomass Partnership (SBP) collaboration. HOFOR has signed a voluntary agreement between Danish energy companies, the target of which is to secure sustainable biomass use.
HOFOR supplies district heat to 500,000 inhabitants, town gas to 300,000 inhabitants, and district cooling to 39 major customers. In addition, the company is in charge of water supply and waste water services of approximately one million inhabitants.

Valmet is the leading global developer and supplier of technologies, automation and services for the pulp, paper and energy industries. Valmet's vision is to become the global champion in serving its customers.
Valmet's services cover everything from maintenance outsourcing to mill and plant improvements and spare parts. The strong technology offering includes pulp mills, tissue, board and paper production lines, as well as power plants for bio-energy production. Valmet's advanced automation solutions range from single measurements to mill wide turnkey automation projects.
Valmet's net sales in 2015 were approximately EUR 2.9 billion. Our 12,000 professionals around the world work close to our customers and are committed to moving our customers' performance forward - every day. Valmet's head office is in Espoo, Finland and its shares are listed on the NASDAQ OMX Helsinki Ltd.

]]> (Administrator) Biofuels Wed, 07 Sep 2016 11:20:24 +0200
Tennessee Awards $250,000 Matching Grant For Lebanon’s Waste-To-Energy System

A $250,000 matching funds grant has been awarded to The City of Lebanon to assist with construction of a new waste-to-energy facility that will reduce landfill usage and provide clean electrical power. The funding comes from the Clean Tennessee Energy Grant program administered by the Tennessee Department of Environment and Conservation (TDEC).

phgLogoThe biomass gasification plant can convert as much as 64 tons per day of wood waste, sewer sludge and used tires to electricity for use at Lebanon’s waste-water treatment plant on Hartman Drive. The city contracted with PHG Energy of Nashville in February of this year to construct the facility. Completion is expected in mid-2016.

“Receiving this grant is very exciting for our city,” Lebanon Mayor Philip Craighead said. “It further validates our decision to pursue an aggressive clean energy and innovative waste disposal direction. There has been a terrific amount of cooperation between our staff, Wilson County, local industries and state officials during this development process. This is the second governmental financing source we have been able to employ.  Funding for the project has already benefited from a federal program that covers 70% of the interest cost for our bond issuance. ”

That federal program is the Qualified Energy Conservation Bonds (QECB) initiative that provides for repayment of a large portion of interest costs to government entities that implement qualifying energy and greenhouse gas reduction projects.

“We are proud to be funding a second large-scale biomass gasification plant through our Clean Tennessee Energy Grant,” said Kathy Glapa of TDEC’s Office of Sustainable Practices. “The City of Covington and City of Lebanon have each received the maximum amount of $250,000 while leveraging nearly $5.5 million from the Grantee. Both the facilities reflect the engineering and installation capabilities of PHG Energy. That company has been instrumental in the success of these systems and will help these communities see large financial returns for years to come, in addition to using local waste for energy.”

Funding for the Clean Tennessee Energy Grant program originated from a federal court settlement with the Tennessee Valley Authority (TVA) under the Clean Air Act that resulted in TVA providing the state $26.4 million over a period of years to fund designated environmental mitigation and energy projects carried out by municipal, county and other government agencies. TDEC was chosen to manage the selection process.

The Lebanon project will deploy what PHG Energy believes is the world’s largest downdraft gasifier.  The new design has been vetted through a rigorous testing process for more than two years at PHGE’s research facility. A standard PHGE gasifier can convert up to 12 tons of feedstock per day to fuel gas, while the Lebanon model will process up to 64 tons per day without substantially increasing the footprint of the plant.

Once completed, the project will mark the 14th gasifier installation for PHGE. The company’s first municipal installation was commissioned in Covington in 2013. Prior deployments of the
thermo chemical process were for industrial brick manufacturing clients in Alabama, Georgia and Tennessee to replace natural gas usage by cleanly converting wood waste to what is called producer gas or synthetic gas.

To date, PHG Energy has:

•    Installed 13 commercial gasifiers in both industrial and municipal settings, and logged tens of thousands of hours in production time.
•    Acquired multiple intellectual property assets and a municipal gasification plant from Florida-based MaxWest Environmental Systems, Inc. in January of 2015.
•    Demonstrated its ability to produce renewable electricity, 1 MW from a Caterpillar generator, from scrap wood chips at its test facility in Gleason, Tennessee, and sold electricity back to the grid as a part of the TVA Generation Partners Program.
•    Collaborated with GE Power and Water to develop a combination of technologies to create power with the use of GE’s Clean Cycle heat-to-power generator.
•    Consolidated the company's operations by purchasing the intellectual property of Associated Physics of America and bringing its scientific and production personnel on board with PHGE.
•    Commissioned new integrated technology at a waste-to-energy plant in Covington, Tennessee.
•    Obtained five new patents on the company’s downdraft gasification technology.

For more information regarding PHG Energy, please visit or contact Nancy Cooper at 615-471-9093.

PHG Energy, based in Nashville was formed in 2010 to develop, manufacture, and install industrial- grade downdraft gasification systems. The technology employs a non-burning thermo-chemical process in which waste materials or renewable biomass is cleanly converted to a fuel gas with combustion properties similar to natural gas. The fuel can be utilized for thermal applications, such as kilns or boilers, or used to produce electricity. PHG Energy is a private company owned by a Nashville family that has operated a large regional Caterpillar dealership for over 70 years.

]]> (Administrator) Biofuels Mon, 01 Aug 2016 08:38:35 +0200