Mercer looks to enter pellet trade

Mercer International, a pulp manufacturer based in Canada, is considering entering the market for ENplus pellets through its German subsidiary ZPR.

ZPR, it has been reported, has contacted various central European pellets manufacturers seeking quotes on a purchase quantity of around 5,000 tonnes of either ENplus or DINplus pellets for June, July, August and September.

The pellets will then be stored, either in external intermediate storage facilities or directly in the manufacturers' storage capacities, with a plan to further market the pellets throughout the 2014/2015 winter.

The pellets will not be fired in either of Mercer's existing biomass-fired power plants, located in Blankenstein and Stendal, as the company's entry into the pellet trade is a supplement to its existing operations in the pulp and paper sector.