Drax has agreed a £19.4 million deal to buy out a remaining stake in two US pellet plants acquired last year.
The biomass-firing power giant bought Pinnacle Renewable Energy last April, with Two Rivers Lumber Co owning a 10 per cent minority interest in Alabama Pellets, a joint venture that formed part of the transaction.
It is the company that oversees the Aliceville and Demopolis pellet plants in the southeastern US state. Aliceville, commissioned in 2018, has a nameplate production capacity of 300,000 tonnes per year. Demopolis, commissioned earlier this year, and co-located with a Two Rivers sawmill, has a nameplate production capacity of 360,000 tonnes.
