Intrinergy to build Germany CHP, wood pellet plant

By Anna Austin
Web exclusive posted Oct. 24, 2008 at 11:02 a.m. CST

Virginia-based Intrinergy LLC has closed on $47 million in debt financing from German bank NORD/LB to begin the construction of a biomass energy project in Belgium. Intrinergy specializes in building, financing, owning and operating renewable energy facilities which convert biomass into electricity.

The project includes a combined heat and power plant to produce steam and electricity, and the collocation of a wood pellet manufacturing facility. Intrinergy has contracted with Shanks Group PLC's subsidiary Foronext to supply the feedstock, which will include sawdust and local forestry residue.

Intrinergy estimates that the facility, which will be called Intrinergy VARE Holdings, will generate up to 12 megawatts of process steam and nearly five megawatts of electricity. The steam and a portion of the electricity will power the wood pellet facility that will produce 50,000 tons of pellets annually, which will be used to power residential and commercial buildings in the region. The remaining electricity will be sold to the local grid under a long-term power purchase agreement.

A spokesman for the company said construction of the project is planned to begin in January 2009, with commissioning schedule for June 2010.

Intrinergy, which operates a technical center in Simpsonville, S.C., also has operations in the United States, Germany, and Belgium. An additional 35 projects are either planned or in development in the continental United States, Mexico, Hawaii, Caribbean Islands and Europe.