Energy is the currency of this century. However, as the cost and environmental limitations of traditional fossil-based energy increase, the world must find alternatives. One option? Wood-based biomass — the most abundant, underutilized and lowest cost renewable energy resource on the planet.
Already, wood pellet fuel is an input of choice for a variety of energy processes. And, as more countries implement energy sustainability and greenhouse gas emissions reduction targets, demand for biomass fuels, including wood pellet fuel, is expected to increase substantially.
Our vision is to capitalize on this trend — as well as our strategic location in British Columbia, which offers one of the most accessible, cost-effective and unexploited wood-based biomass resources available — to remain one of North America’s leading wood pellet fuel suppliers.
Our future growth will be driven by three forces: the continued development of our existing portfolio of properties; market diversification; and advancing technologies.
The wood pellet fuel industry is a relatively new segment of the energy business, which will provide numerous opportunities for growth as it matures. These include:
Customer diversification — while currently committed to selling “bulk” product to large international power producers, we see future opportunities in residential and light industrial heat and power applications.
Geographic diversification — global pellet demand is dominated by Europe today, but new geographic markets for our product are beginning to develop. At present, global demand for coal is approximately 6 billion tonnes per annum. Replacing just 5% of this with wood pellet fuel results in annual demand of approximately 400 million tonnes of pellets, or roughly 40 times the current level.