VANCOUVER, BC - Viridis Energy Inc.'s wood pellet plant in Nova Scotia commenced production with an initial scheduled delivery of 25,000 metric tons in December.
Viridis has battled financial losses while securing private funding to reopen its wholly-owned subsidiary Scotia Atlantic Biomass Company and inking a deal with Ekman & Co. AB to market its entire 240,000 metric ton wood pellet production over a two-year period.
Viridis said it expects to have all five of the wood pellet presses at the Scotia Atlantic Biomass wood pellet plant in operation by the end of this month. The company also operates a smaller plant in Vancouver; the two plants reportedly have the capacity to produce 180,000 tons of wood pellets annualy.
Viridis has continued to narrow its quaterly financial losses. The company reported a second quarter loss from operations of $365,000 compared to a loss of $561,000 in the first quarter of 2013 and $730,000 for the second quarter 2012.
In May, Viridis closed the second and final tranche of its $5 million non-brokered private placement, generating gross proceeds of $2 million. The proceeds were applied to reopening the Atlantic Scotia Biomass plant. Viridis acquired the facility in Upper Musquodeboit, NS - billed as the largest wood pellet operation in Canada - in February 2012.
In July Viridis contracted Ekman to sell its wood pellets - most of it destined for use by utilities and industrial consumers in Europe.
"Our Scotia Atlantic facility is located near excellent shipping ports on the Atlantic Ocean, making it strategic to addressing the growing demand for renewable energy sources in Europe," said Christopher Robertson, Viridis' CEO.
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