SHOW LOW, AZ - Forest Energy Corp., a manufacturer of wood pellets, sustained damages to equipment and inventory estimated at $1 million in a fire Tuesday afternoon.

Wood Pellet Plant Sustains $1M Loss in FireThe fire shut down portions of Highway 60 and forced the evacuation of nearby residents and businesses.

The Show Low Fire Department said the fire was triggered when an excavator moving logs caught fire. The fire spread through the log yard to the manufacturing plant and wood pellet storage area. No injuries were reported.

Water was dropped onto the facility by air tankers to squelch the blaze and prevent it from spreading further.

According to its website, Forest Energy Corp. manufactures wood pellets from recycled wood and biomass residue. The company's wood pellets are sold under the brand names Heat'rs, TerrAmigo and GreenTree. The company also makes animal bedding, densified fire logs, wax fire starter cubes and fire starter gel.