As part of its commitment to building an integrated Biomass
supply chain, Aeternum, in collaboration with proven industry
leaders, plans to build a 500,000 tonne per year biomass
pellet plant, which will begin shipping wood pellets to Co-firing
power stations and local CHP plants throughout the
UK.
The facility will be located in Castleford, Yorkshire England
and will enable Aeternum's customers to cut over 1.5m tonnes of CO2
emissions per year, helping the UK to meet strict European emission
reduction goals. The main port for import of raw materials will be
Hull. The sites multimodal location (River, Rail, Canal & Road)
make it a unique site for distributing Pellets to the surrounding
Co-firing power plants.
The raw material for pellets consists of Aeternum's Primary and
Secondary Biomass.
Aeternum's Primary Biomass will be derived from both locally
sourced and imported Biomass, typically from our own
plantations.
Aeternum's Secondary Biomass will be derived from the clean,
sterile, Biomass extracted from the on-site Autoclave waste
processing technology.
Recyclates are treated and further processed on site to ensure
maximum economic value is added. The resultant pure organic
by-products are then filtered, steam treated and compressed to form
a Biomass Pellet that is combusted to produce process heat and
electricity.
Aeternum believe the macroeconomic fundamentals for a plant of
this size are compelling. The location of the proposed plant is
geographically within short distances to all key Coal Fired Power
Stations in the UK - many of which are turning increasingly to the
co-firing of Biomass with Coal.
Currently co-firing is typically between 3% - 5% with a number
of the larger Coal fired stations looking to increase this
co-firing amount upto 12.5%. However, in Europe, where different
Carbon Subsidies exist for Biomass, co-firing exceeding 50% is
increasingly common.
While Europe is still the main producer and consumer of
pellets, imports from North America will become more
important in the future. The following graph shows the actual and
expected development of the pellet production and consumption form
2000 till 2010 (Source: ISO/TC 238 Business Plan, second draft
2009)
In terms of demand for Biomass in the UK it is clear that there
is a long way to go:

