Biomass Secure Power enters MOU to deliver biocoal

By Biomass Secure Power Inc. | April 26, 2018

Biomass Secure Power Inc. has entered into a memorandum of understanding (MOU) with a power company located in the United States. The MOU became effective on April 18th. 

Whereas both companies are engaged in the reduction of carbon emissions and production of renewable heat and power by using sustainable fuels in their existing infrastructure. The MOU states that Biomass Secure Power will commence shipping of Biocoal third quarter of 2019 and agrees to ship annual volumes as follows: up to 200,000 metric tons in 2019, up to 300,000 metric tons in 2020, and up to 400,000 metric tons in 2021, or as adjusted by further agreement. BPL and the power company are obligated to enter into good faith negotiations towards a long term supply agreement not less than 20 years.

BSP has engaged Wood PLC as the EPC for the Natchitoches, Louisiana, plant and expects to break ground in the spring. This plant will be the first plant to produce a torrefied product in large volumes. It is planned to install equipment that will produce 240,000 metric tons per year at the end of phase 1 construction. BSP plans to continue the development of the Natchitoches plant in 2 further phases, increasing production by 400,000 metric tons per year for each added phase. The plant is expected to meet its full capacity of 1 million metric tons per year within 36 months.