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Bechtel, Drax partner to explore opportunities for BECCS

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By Erin Krueger

June 07, 2021

Pellets Power UK 

Bechtel Corp., a U.S.-based EPC and project management company, on June 4 announced a partnership with U.K.-based Drax Group plc to identify opportunities to construct new bioenergy with carbon capture and storage (BECCS) power plants.

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The latest Drax Electrical Insights Quarterly report, published by Imperial College London, discusses the U.K.'s transition from coal to biomass and the future of carbon-negative bioenergy with carbon capture and storage (BECSS).

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The U.K. Renewable Energy Agency is criticizing the England Trees Action Plan issued by the U.K. government on May 18 for omitting bioenergy, stressing that the omission will likely result in the government failing to meet its ambitions.

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U.K.-based Active Energy Group plc on May 20 announced plans to expand production of its CoalSwitch product in the U.S. and provided an update on the development of the company's project in Lumberton, South Carolina.

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Drax Group,will begin constructing the first of three new “satellite� pellet plants in Arkansas, the company announced on May 6. The three plants are together expected to produce around 120,000 metric tons of sustainable biomass pellets a year.

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Officials from Covanta Holding Corp. discussed the company's ongoing strategic review and provided an update on the development of the company's U.K. waste-to-energy projects during a first quarter earnings call, held April 30.

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The U.K. on April 20 announced its sixth Carbon Budget sets a new goal to reduce emissions by 78 percent by 2035 when compared to 1990 levels, and for the first time will incorporate the U.K.'s share of international aviation and shipping emissions.

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Sustainable bioenergy included in EU'S Green Finance Taxonomy

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By U.S. Industrial Pellet Association

April 21, 2021

The U.S. Industrial Pellet Association has welcomed the EU Taxonomy which classifies sustainable bioenergy as an environmentally sustainable activity, underscoring its indispensable role in the EU's low-carbon energy transition.

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Drax released a first quarter trading update on April 21, discussing the company's progress with its biomass strategy, including the acquisition of Pinnacle Renewable Energy, the end of commercial coal generation, and sale of gas generation assets.

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The U.K. Department for Business, Energy and Industrial Strategy on April 20 opened a public consultation seeking evidence on how sustainable biomass should be sourced and used to support the country's net-zero target.

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The U.S. Energy Information Administration recently released data showing U.S. manufacturers produced approximately 760,000 tons of densified biomass fuel in December, with sales reaching 930,000 tons.

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Air bp has recently supplied sustainable aviation fuel (SAF) to three airports in the UK: dedicated business aviation airport, London Biggin Hill, Airbus owned Hawarden airport in Flintshire, North Wales, and Centreline FBO, in Bristol.

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Drax Group plc announced on April 13 that it has completed the previously announced acquisition of Pinnacle Renewable Energy Inc. The transaction increases Drax's annual wood pellet production capacity to 4.9 million metric tons from 2022.

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Drax Group plc released the results of a new study on April 12 that shows its planned BECSS projects will save the U.K. more than £4.5 billion ($6.18 billion) over the next decade as the country works to meet its climate goals.

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Solace announced on April 8 that Drax Group plc has selected its event streaming and management technology to make its IT architecture more efficient, agile and to help reduce the cost of delivery.

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Pinnacle Renewable Energy Inc. announced on April 6 that the company has obtained a final order from the Supreme Court of British Colombia approving its acquisition by U.K.-based Drax Group. The transaction is expected to close April 13.

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The U.S. exported 556,801.7 metric tons of wood pellets in February, up from 546,435.2 metric tons during the same month of last year, but down from 599,624.2 metric tons in January, according to data released by the USDA on April 7.

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Pinnacle Renewable Energy Inc. and Drax Group plc. on March 31 each announced shareholder approval for the planned acquisition of Pinnacle by Drax. The transaction is expected to close in April 2021.

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The U.K. Department for Business, Energy and Industrial Strategy on March 9 announced it will invest £4 million ($5.57 million) in projects that aim to increase the production of sustainably sourced biomass in the U.K.

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Drax Group plc has announced an informal public consultation on its proposed BECSS project is open through late March. The consultation represents the first phase in securing a DCO from the U.K. government, which is needed to deploy the project.

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Drax Group plc increased wood pellet production by 7 percent last year while improving quality and reducing costs by 5 percent, according information published in the company's 2020 financial report, which was released Feb. 25.

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Covanta Holding Corp. provided an update on the development of its four U.K. waste-to-energy projects currently under construction and its ongoing strategic review during a fourth quarter earnings call held Feb. 19.

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Waste Knot Energy has negotiated a strategic partnership agreement with international supply management company Komercon. Under the agreement, Waste Knot will supply 3.6 million metric tons of pellets to Komercon over the next five years.

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Fulcrum BioEnergy Ltd. on Feb. 16 announced plans to develop a 30 MMgy sustainable aviation fuel (SAF) plant at Essar Oil (UK) Ltd.'s refinery near Liverpool, England. The project could be operational as soon as 2025.

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Drax Group plc announced on Feb. 8 it has signed an agreement to acquire Canada-based pellet producer Pinnacle Renewable Energy Inc. The acquisition will more than double Drax's pellet production capacity.

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Drax on Feb. 1 announced that it has completed the sale of its natural gas-fueled power generation assets. The company also said it will end commercial coal generation on March 31, with formal closure of its remaining coal assets in September 2022.

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The European Commission's Joint Research Center on Jan. 25 published a report on the use of woody biomass for energy production in the European Union. The U.S. Industrial Pellet Association and Bioenergy Europe have welcomed the report.

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Velocys announced on Jan. 18 that Shell International Petroleum Co. Ltd. will no longer participate in the development of the Altalto Immingham project, a proposed 20 MMgy sustainable aviation fuel production facility under development in the U.K.

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Data released by the U.K. Department for Business, Energy and Industrial Strategy shows bioenergy capacity in the U.K. increased by 3.9 percent during the third quarter of last year, while power generation from biodegradable MSW set a new record.

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Drax on Dec. 15 announced it has reached an agreement to sell its natural gas-fueled power generation assets. The company said it will use the proceeds from the sale to develop its biomass supply chain and support its plans to become carbon negative.

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