Biomass Secure Power signs negotiation agreement
July 11, 2013
By Canadian Biomass
July 11, 2013, Abbotsford, B.C. – Biomass Secure Power Inc. has signed an exclusive negotiation agreement with the Natchitoches Parish Port Commission (NPPC) that gives its subsidiary the rights to negotiate a long term lease on 50 acres of land within the NPPC property for 90 days, beginning July 5.
In consideration of NPPC's
agreement to negotiate exclusively with it, the subsidiary, Biomass Power
Louisiana L.L.C. (BPL), has paid a fee of $15,000. A portion of this option fee
will be applied to the first payment of any long-term lease negotiated with the
NPPC. BPL expects to sign a 20-year lease with an option for an additional 10
years within the 90-day time frame.
The proposed chipping plant
at Natchitoches will support the pellet plant at Baton Rouge by delivering wood
chips by barge via the Red River.
BPL plans to complete its
lease option with the Port of Greater Baton Rouge prior to end of August after
which the construction of phase one of the pellet plant will commence. Plans
are in place to build the plant in four phases over several years.
Phase one consists of three
production lines each capable of producing 340,000 tonnes per year of biomass
pellets. When phase one is complete the company will have the capacity to
produce 1 million tonnes of pellets per year.
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