Westervelt Sells Pellet Interests
Drax is acquiring Westervelt’s 20% minority interest in Alabama Pellets, LLC—the joint venture that owns pellet plants in Demopolis and Aliceville, Ala.—for $29.7 million. The acquisition increases Drax’s interest in Alabama Pellets to 90% and provides Drax with economic control over a further 130,000 tonnes of pellet production capacity per year.
Drax gained majority control of the two pellet plants when it purchased Pinnacle Renewable Energy earlier this year. Westervelt, a substantial timberlands owner and operator of two sawmills, had originally built the Aliceville plant and subsequently sold the majority control of it to Pinnacle, while maintaining a 20% arrangement with Pinnacle in both the Aliceville and Demopolis plants, which carried over when Drax purchased Pinnacle.
Drax has been in discussions with Alabama Pellets joint venture partners regarding future working relationships, including their minority interests. The remaining joint venture partner, Two Rivers Lumber Co., LLC, still holds a 10% economic interest.
RELATED ARTICLES:
Drax Satellite Mills Go With BE&E
Drax Announces $40M Investment In Arkansas
Drax Sets Sights On Carbon Capture
Pinnacle Renewable Energy To Be Acquired By Drax Group
Pinnacle Names Duncan Davies As CEO
Pinnacle CEO Rob McCurdy Is Retiring
Pinnacle, Westervelt, Two Rivers Come Together
Earthworm, Drax Working Together
Latest news
Enviva Issues Statement Following Destructive Weather In Mississippi
Enviva Inc. has reported that all of its associates are safe and accounted for following a strong tornado that touched down in Amory, Miss., on March 24, 2023. The storm did, however, damage the company’s 115,000 metric ton per year wood pellet production facility, although Enviva’s larger plants and ports in…
Renova Delays New Biomass Plant Startup
Japan renewable power producer Renova Inc recently announced is postponing the launch of commercial operation of the 74.8-MW Tokushima-Tsuda biomass-fired power plant to some time in May 2023. Initially scheduled for a March 2023 startup, the plant is undergoing machine inspections, according to Renova…
Spectrum Moves Ahead At Adel
Spectrum Energy Georgia LLC plans to begin construction this summer of an industrial wood pellet facility in Adel, Ga. and expects to commission the plant 12 months later, or summer of 2024. The plant will operate at the site of an idled particleboard facility…
Find Us On Social
Subscribe to Our Newsletter
Wood Bioenergy News Online hits the inboxes of subscribers in the wood-to-energy sectors.
Subscribe/Renew
Wood Bioenergy is published and delivered worldwide 6 times per year. Free to qualified readers in the U.S. Subscribers outside the U.S. are asked to pay a small fee.
Advertise
Complete the online form so we can direct you to the appropriate Sales Representative.