Vega Biofuels places order for production of biocoal
Vega Biofuels has placed an order for thousands of tonnes of biocoal for shipment to an international client.
Manufactured from timber waste using torrefaction technology, biocoal has a high energy density of up to 13,000 BTUs/lb and is considered a renewable energy fuel that meets the Renewable Portfolio Standards and Renewable Energy Credits (RECs) in the US.
Vega recently announced that it was working with Colorado-based Vencor International to test Vencor's torrefied wood product to see if it met the strict specifications to be used as biocoal. The independent testing was successful and Vega has now issued a purchase order to Vencor to produce 3,000 tonnes of biocoal.
Production is scheduled to begin shortly. The deal is valued at approximately $600,000 (€535,000).
They [Vencor] recently increased their production capacity and are now capable of filling our orders and shipping product to our international clients. We anticipate this being the first of many orders of this type. We have been able to secure several deals like this, but production has been the delay. Hopefully, that is now behind us and we can continue to grow our business and bring additional value to our shareholders,' comments Michael Molen, chairman and CEO of Vega Biofuels.
SOURCE: Vega Biofuels