Pinnacle Renewable Energy and Alkali Resource Management Ltd. (ARM) have entered into a three-year fibre supply agreement to help feed the Williams Lake plant.
The two announced the partnership, Monday, Dec. 16 which will see ARM process, store and deliver biomass from harvest residuals to Pinnacle, which is currently in the process of receiving a multi-million dollar upgrade.
ARM is a forest management company owned by the Esk’etemc Nation, whose traditional territory is south of Williams Lake. Pinnacle and the Esk’etemc Nation have been collaborating to improve fibre utilization and to support economic development within Esk’etemc managed forests in recent years.
“The agreement will help support not only the forest activities of the Esk’etemc, but also helps support harvesting and hauling contractors engaged by ARM,” Gord Chipman, manager of ARM, said. “This is a positive development at a time of ongoing impacts of the sawmill closures and curtailments experienced in the region.”
Rob McCurdy, CEO of Pinnacle, said the deal will be a win-win for both partners.
“We are excited to be working with the Esk’etemc and pleased that the agreement will contribute to the achievement of sustainable fibre supplies to fill the gap in sawmill residuals we have seen in the province this year,” McCurdy said. “The agreement will enhance forest stewardship practices while generating new economic opportunities for the Esk’etemc Nation.”
Pinnacle is a rapidly growing industrial wood pellet manufacturer and distributor and the third-largest producer in the world. They produce sustainable fuel for renewable electricity generation in the form of industrial wood pellets which are used by large-scale thermal power generators as a greener alternative to produce reliable baseload power.
Overall Pinnacle operates eight industrial wood pellet production facilities in western Canada and one in Alabama, and owns a port terminal in Prince Rupert, B.C. Pinnacle has entered into long-term take-or-pay contracts with utilities in the U.K., Europe and Asia that represent an average of 108 per cent of its production capacity through 2026.