Atikokan Putting Finishing Touches on Fuel Pellet Mill in Ontario

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Researched by Industrial Info Resources (Sugar Land, Texas)--Privately held Canadian startup Atikokan Renewable Fuels LLC (Thunder Bay, Ontario) is putting the final touches on a new fuel-pellet mill in the tiny town of Atikokan, Ontario.

The company bought the former 45-year-old Fibratech particle board mill, which closed in late 2007, and converted the mill into a wooden fuel-pellet production facility. The mill is expected to become operational in the next 30 to 60 days and will produce 120,000 tons per year of the renewable fuel pellets.

The plant will produce both standard and premium wood pellets, which will contain between 7% and 11% high-density polyethylene to improve burning properties.

The company invested $15 million renovating the property and purchasing new production equipment. When the plant is fully operational, 40 new jobs will be created for the rural community. Atikokan is located roughly 112 miles west of Thunder Bay.

Industrial Info is currently tracking more than $465 million of capital spending for grassroot plants in the super-hot biomass pellet market. The largest concentrations of planned plants are located in the Southeast market region.

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