Drax looks to add 500K tonnes of wood pellet capacity by end of year
July 27, 2022
By Canadian Biomass staff
Drax Group acquired B.C.-based Pinnacle Renewable Energy in April 2021. Photo: Pinnacle Renewable Energy. Drax is planning for a final investment decision on up to 0.5 million tonnes (Mt) of new wood pellet production capacity in the second half of this year.
In the company’s half-year results for 2022, Drax Group CEO Will Gardiner said the company is continuing to invest in expanding pellet production to supply the increasing global demand for biomass power.
Drax’s pellet production for the first half of the year is up 54 per cent to 2 Mt compared to last year’s 1.3 Mt. This includes the acquisition of Pinnacle is April 2021.
The company is adding 4 Mt of new production capacity with the commissioning of two plants in the U.S. South – Demopolis and Leola – which are expected to reach full production capacity by the end of the year.
“As carbon removals become an increasingly urgent part of the global route to Net Zero, we are also making very encouraging progress towards delivering BECCS in North America and progressing with site selection, government engagement and technology development,” Gardiner said in the release.
Read the full half-year report here.
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