Enova awards supply contract for pellet plants

Enova Energy, an Atlanta-headquartered bioenergy company, is building three wood pellet plants in Georgia and South Carolina and has signed a new supply agreement for the biomass.

The company has entered into a 10-year fibre supply and services agreement with Plum Creek Timber.

Under the new agreement, Plum Creek will deliver up to 3 million tonnes a year of sustainably-managed wood fibre to Enova's three new pellet facilities. Approximately 500,000 tonnes will be sourced from Plum Creek's timberlands while the remaining 2.5 million tonnes will come from third party landowners.

Enova's new mills will manufacture wood pellets from wood fibre. It will export the pellets to global biomass markets when shipments begin in 2015.

'Further growth in bioenergy markets means cleaner energy, attractive returns for our investors and new jobs for those in the communities where we work and live,' comments Rick Holley, Plum Creek's CEO.