Biomass Business Plan

To be a pellet exporter, the warehousing and transportation costs must be considered. There are three sources for the wood feedstock: wood residues of wood manufacture process, harvested low-grade wood, wood wastes from residential wastes.

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If you want to start a pellet plant by reducing the variable costs, capital input and cost of production, but still make high quality pellets, GEMCO gives you 3 bonus tips which may help your progress goes faster: No.1 Get government and industry grant No.2 Recruit an experienced managed team No.3 Mastery the latest wood pellet technologies Pellet Line Specialty: power-cutting machine to wood pellet drying , pellet machine, cooling and package system.

They have an annual demand for pellet fuel and will buy pellets before the heating season.

Each residential customers may need pellets from half a ton to several hundred tons per year.

According to a study of capital costs for pellet plant in EU, which is researched by Deloitte, the capital costs are placed as follow: Base capital cost: 5 per ton (if your capacity is 100,000 tons per year, the base capital cost is .5 million ).

Labor: per ton in a pellet plant with a capacity of 150,000 tons annually (the price is changing with the capacity) Energy: per ton Maintenance: per ton Repairs and lifecycle maintenance: per ton Loading onto rail for bulk shipments: .5 per ton Optional capital costs: Grinding on site: -4 million ( grinder, log deck, handling and debarking machine) Pellet storage, rail car loading facility: million If the above capital example does not suit you, Gemco can also provide you a personalized solution.

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