Port of Tyne to ensure “uninterrupted supply” of biomass pellets for Drax
The four-year agreement envisions the transportation of up to one million tonnes of biomass pellets annually.
The pellets will be transported from the Port of Tyne to the Drax site utilising a rail network, with efficient transportation being a critical element of the partnership.
The contract encompasses investment of £1.5 million (€1.7 million) for the enhancement of site facilities and rail infrastructure.
The Port of Tyne will supply 20% of the raw materials utilised to support the UK's escalating demand for renewable electricity. The biomass has the capability to power approximately 800 UK homes for an entire year through each 25-wagon train.
Matt Beeton, CEO of the Port of Tyne, commented: "This new contract will see bigger ships, more trains and improved infrastructure as the Port of Tyne continues to grow its role in the UK renewable energy market. We look forward to deepening our partnership with Drax this year through our ISO 44001 and Customer First programmes."
Mark Gibbens, head of logistics at Drax Power Limited, added: "We welcome this new contract with Port of Tyne, a long-time partner of Drax. Our work with Port of Tyne is an important part of our robust global supply chain, which supports the delivery of dispatchable, renewable power to millions of homes and businesses across the UK."