German Pellets expands operations at Wismar

Handysize vessel the MV Federal Elbe delivered 20,000t of wood pellets from the Canadian east coast to Wismar in northern Germany. The pellets will be stored before being sold to customers in Europe.

German Pellets and port operator Seehafen Wismar are building a storage facility for wood pellets at the port.
German Pellets plans to use the port to receive shipments from, among other places, its new pellet production plant in Woodville, Texas.

The 578,000 t/yr Woodville plant will be the company's first industrial-focused mill and is expected to be operational in early 2013.

Cargoes will be exported through Port Arthur, Texas, where the producer is constructing five storage silos with a combined capacity of 75,000t. The port will be able to accommodate Panamax vessels capable of loading 60,000-70,000t.

Shipments along the US Gulf coast have so far been capped at 25,000t, because of port storage or production constraints, but other producers are eyeing the potential to load supramax vessels with 45,000-50,000t cargoes.

Most of the volumes from the Texas plant will be exported direct to utilities in the UK, but the additional storage at Wismar is well positioned to store and then transport shipments by barge to the Scandinavian market.

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