Dalkia and Fengate progress with Canadian biomass plant
Dalkia and Fengate Capital Management have closed the financing for a biomass plant to be located in British Columbia, Canada.
With a production capacity of 40MW of renewable electricity using 307,000 tonnes a year of biomass, the plant will be one of the largest in Canada. The power will be sold to BC Hydro and Power Authority and benefit almost 40,000 homes.
Funding will be provided by the Canadian fund Fengate Capital Management leading an international pool of banks. Iberdrola Engineering and Construction has been contracted to build the plant.
Under the design, finance, build, operate and maintain contract, Dalkia, an energy services provider, will operate and maintain the facilities. It will also manage the wood biomass supply by working with local forestry companies, sawmills and the First Nations.
The biomass used by this plant will largely comprise waste from the British Columbia forestry industry, such as sawmill and logging waste, and trees killed by the mountain pine beetle epidemic that has ravaged British Columbia forests over the past 10 years.
'Dalkia and Fengate Capital Management are together finalising an identical biomass power plant in Merritt, British Columbia,' Dalkia chairman Franck Lacroix reveals.