Biomass Energy, Enviva in wood chip fuel deal

Washington DC; Aug. 15, 2011 – Enviva LP (Enviva), a leading supplier of processed biomass fuel in the United States and Europe, and Biomass Energy, LLC (Biomass Energy), an affiliate of Ensign-Bickford Renewable Energies, Inc. (EBRE), today announced a strategic partnership targeting growing worldwide demand for sustainably sourced wood-pellet fuel.

 Together, the companies will expand and operate Biomass Energy’s Bumpass, Va.-based wood chip and pellet manufacturing facility with the goal of producing more than 350,000 metric tons of wood pellets over the agreement’s three-year term. Much of that supply will be exported to Enviva’s European utility customers who, like other power producers around the globe, are increasingly turning to processed biomass fuel to reduce the environmental footprint of energy generation.

 Wood pellet production will be stored and loaded at Enviva’s Chesapeake, Va. deep water port facilities, a key export terminal developed by Enviva for the safe, reliable storage and handling of the company’s products. Production from this partnership will also be sold through Biomass Energy’s growing distribution channels to key institutional and retail outlets, where the company has been widely recognized for its high-quality products and excellent customer service.

 As part of the alliance, which has already begun operations, Enviva will partner with Biomass Energy in the day-to-day operation and maintenance of the facility. During the initial phase of the agreement, Biomass Energy intends to expand and upgrade the plant’s production capabilities and throughput. Successful expansion is expected to result in new jobs for the region, both at the plant as well as within local transportation and forestry industries.

 “Developing strong relationships with companies committed to the safe, reliable and sustainable production of high-quality renewable fuels is a cornerstone of our business, and this partnership is a hallmark of that approach,” said Enviva Chairman and CEO John Keppler. “Biomass Energy produces high quality, additive-free wood pellets. Plus, the company has an outstanding focus on safety and environmental stewardship, including strict procurement guidelines and a commitment to a local conversion process, which lowers the company’s carbon footprint and supports regional economies.”

 

“We are thrilled to be working with Enviva,” said Scott Deakin, Chief Development and Operations Officer at EBRE’s parent, Ensign-Bickford Industries, Inc., and CEO of Biomass Energy. “Enviva’s operations and manufacturing expertise, growing customer base, shared commitment to safety and sustainability and its multi-national base of operations make the company a perfect partner for us. With improved and expanded manufacturing capability, Biomass Energy will be favorably positioned as a leader in the wood pellet biomass space for many years to come.”

 With Virginia a focus of both companies’ plans for future growth, Biomass Energy will continue to source all raw materials locally in a region that features abundant natural resources, close proximity to ports and a wealth of skilled labor.

 About Enviva

Enviva’s mission is to become the preferred partner and supplier of sustainably sourced wood pellets and other processed biomass to serve power generation and industrial customers seeking to decrease their dependence on fossil fuels and reduce their carbon footprint. Enviva has been supplying wood chips and wood pellets to customers in the U.S. and Europe since 2007. Enviva’s additional U.S. manufacturing operations include facilities in Ahoskie, N.C.; Amory and Wiggins, Miss.; as well as a CHP-wood pellet plant in Belgium. The company also recently announced plans to build a second North Carolina facility in Northampton County. For more information about Enviva, including job opportunities, go to www.envivabiomass.com.

About Biomass Energy

Biomass Energy’s mission is to dramatically reduce fossil fuel consumption and greenhouse gas emissions through the conversion from heating oil and other non-renewable fuels to a locally sourced, sustainably harvested and inexpensive source of thermal energy in the form of premium wood pellets. Biomass Energy’s customers include hospitals, colleges and schools, manufacturing facilities, commercial properties and municipal, state and institutional facilities. Biomass Energy also offers heat energy pellets as bagged product in retail markets, for bulk residential and commercial delivery, and for industrial co-fire applications. Biomass Energy, LLC was formerly known as WoodFuels Virginia, LLC. For more information about Biomass Energy go to www.be-biomassenergy.com.

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