Green Energy Resources has received a ten year, US$300M contract to supply wood biomass to coal burning plants in the US.
American power generators are in the process of obtaining Federal test permits to conduct co-firing with coal to conform to the new EPA rules.
Co-firing is the simplest most cost effective means to reduce green house gas emissions and is one of the primary solutions utilised by European power generators who are 2-3 years ahead of their American counterparts. Co-fire tests will likely take 6-12 months to complete and commence in the spring of 2010.
Once power generating facilities are fully operating Green Energy Resources is expected to supply approximately 1.5 mt of wood biomass annually. It will receive financing assistance through the newly implemented US Federal Biomass crop assistance program (BCAP) that makes matching payments to biomass suppliers.
Green Energy Resources is currently engaged in exports of woodchips to power plants in Europe.
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