Viridis signs $6 million contract
March 9, 2015
By Scott Jamieson
Mar. 9, 2015 - Viridis Energy Inc. announced March 6 that its subsidiary Viridis Merchants Inc. (VMI), has secured a contract with an existing client for exclusive distribution of up to 18,000 tonnes of 100 per cent Douglas fir pellets.
VMI is an aggregator and trading service for wood pellets, and says the contract is worth $6 million through 2015.
VMI launched its Okanagan Douglas Fir brand of premium pellets in early 2013 with two rail cars in rotation. The company now has 25 to 30 cars in rotation, having steadily increased its dealer and distribution network. VMI has exclusive rights to this brand in the northeast US. Ths latest contract is expected to produce 14,000 to 18,000 tonnes in 2015, with the company expecting renewal into 2016.
“The Okanagan Douglas Fir pellets are a superior quality in the heating market and retail for 15 to 20 per cent more than premium pellets. We are pleased with the additional volume this contract has provided, as we were unable to fulfill all the demand last year,” said Christopher Robertson, CEO.
This contract follows the renewal of another VMI contract, extending it to March 2016 at a value of $3.5 million. More news on the company can be found here.
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