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Stobart Biomass agrees to new contract with Iggesund

In the UK, a supplier of timber-based biomass fuel Stobart Biomass has agreed commercial terms for a long-term supply and logistics contract with Iggesund Paperboard.

The contract will see Stobart Biomass source, supply and transport biomass for use at the new £100 million (€114 million) biomass-fired power plant at Iggesund's paper mill.

According to Andrew Tinkler, CEO of the Stobart Group: 'Stobart Biomass is growing apace with the development of this fast-expanding new sector, and this long-term agreement is typical of other contracts currently under negotiation. The supply and distribution nature of the agreement delivers further commercial and efficiency benefits in the group's transport and logistics division, as biomass delivery is added to distribution contract, facilitating greater fleet utilisation.

'Cumbria is the home of Stobart Group and to play a part in the development of Britain's new Energy Coast is important to the company,' Tinkler adds. 'We are proud to contribute green solutions for energy generation in an area traditionally synonymous with nuclear power.'

Work on the contract is scheduled to begin in Q1 2013.