Arkhangelsk Region to Become a Front-Runner in the Development of Biofuel Technologies

Following the opening of pellet production mini-plant in Nyandoma (Arkhangelsk Region) a new plant Biotek, OOO which production capacity will amount to 70 thousand tons of wood pellets per year is to be launched at the end of 2011 in Velsk. At the end of January 2011 European and American companies, such Bruks , CPM and others, will deliver the equipment for this plant.

The company has already bought the mobile chipper and produces chips which are then supplied to the local biofuel heating plants (boilers).

The company is going to produce wood pellets from the forest harvesting and timber processing residues, this wood waste will be collected to the plant from five near-by districts. All wood pellets produced at the plant will be exported to Europe, according to Vladimir Konanov, Director General of Biotek,  OOO.

The similar pellet production plants of different capacity are being designed in Kotlas, Onega as well as in the Ustyansky and other districts. Moreover, the investors are so highly interested in Arkhangelsk Region that they even compete for projects.

Alexader Dulin, the chief of the project "Bionet" claims that the representatives of the state corporation Russian Technologies have visited about 20 sites of former hydrolysis plants to evaluate the possibility of construction of wood pellet production plant with capacity of 180 thousand tons per year. Onega proved to be the best choice on the territory of the Russian Federation. First of all, the remaining structure of former hydrolysis plant and anticipated construction of marine terminal will allow to ship the products to the European consumers using both railroad and sea transportation. Second, the amount and quality of lignin which is considered to be a by-product will assure continuous product output in the next 15 coming years. In order to bring this project to life around 40 millions euro of investments shall be raised.

It is anticipated that the area of LDK-3, an Arkhangelsk sawmilling plant, shall comprise a large scale up-to-date joint company, the second largest wood pellet production plant in Russia. The whole production line shall be certified by Forest Stewardship Council (FSC). The anticipated production output will amount to 500 thousand tons per year as compared to the output of the Sawmill 25 which equals to 50 thousand tons of pellets per year. The company is willing to invest about 15-20 millions euro in forestry road construction only.

The Primorsky District is the most active among all districts of Arkhangelsk Region to implement the programme of transition to renewable fuel consumption. Biofuel heating plant using pellets has been already commissioned in Laisky Dok settlement, the similar biofuel plant is to be commissioned on November, 15 in Lugovoe settlement. The third pellet heating plant in Bobrovo settlement will be constructed after the completion of all works in Lugovoe settlement.

The development of biofuel technologies is a strategic goal for the region. According to the governor of the region special measures shall be taken in order to make unprofitable the abandon of logging residues, branches and other harvesting waste at the site: «The forest must not be blocked up with waste taking into account the fact that the processing of residues will create new jobs and contribute the taxes to the budgets of different levels, - has concluded Ilya Mikhalchuk, the Governor of Arkhangelsk Region.