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

Drax Adds Rail Link

Drax Can See End Of Coal Operations

Drax Appoints White To Lead U.S.

Latest news

University Of Georgia Researchers Will Reengineer Poplar

A multidisciplinary team of researchers at the University of Georgia and two partner institutions have been awarded a $15.8 million grant over five years from the U.S. Dept. of Energy to reengineer poplar trees to be used as a sustainable energy source…

Rotochopper Adds Chad Angeli To Newly Created Executive Role

Chad Angeli has been announced as the newest member to the Rotochopper executive team in the newly created role of Vice President of Customer Experience. In this role, Angeli will lead the sales, marketing, and customer service functions, strengthening the Rotochopper brand and aligning customer touchpoints. As a strategic partner to the CEO, he will develop and implement strategies that lead to continued…

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.