Energy firm gets £5m for wood pellet growth
Yorkshire-based biomass producer Land Energy has secured a £5 million funding deal with UK venture capital investor Foresight Group to build its first wood pellet plant and hopes to build more across the UK.
The renewable energy firm plans to source soft wood from local forests to produce timber and coppice pellets locally in schools, commercial buildings and homes.
Land Energy's first challenge is to obtain planning permission in Ryedale, where it wants to convert a potato store into its first wood pellet plant.
The firm is looking roll out its plans to at least three UK locations and hopes to capitalise on the growing UK market for wood pellets, used to burn in commercial and domestic wood pellet boilers.
Currently most wood pellets are imported from other countries including Scandinavia, Canada and the US, adding to the carbon cost of transportation.
14 May 2008