Opportunity for Sweden and Finland.
From the Wall Street Journal, January 16:
Wood Pellet Maker Enviva Misses Bond Payment
The company’s failure to make the interest payment came after a trade on future pellet prices went bad
Enviva, the largest U.S. wood pellet exporter, is skipping a $24 million payment due to its bondholders Tuesday, according to a securities filing, as it continues restructuring discussions in the wake of a disastrous bet on future pellet prices.
The company now has 30 days to make the bond payment before the failure to pay constitutes an event of default. Enviva is conducting a review of alternatives to address its capital structure and liquidity needs, the company has said.
Bethesda, Md.-based Enviva said last year that it had been buying pellets and aiming to resell them for more. That strategy became perilous when pellet prices fell, leaving the company on the hook to pay $296.3 million last year for 800,000 metric tons of wood pellets that would only be worth $156.9 million on the open market, according to a securities filing....
....MORE
They ignored the first rule of wood pellet trading: Don't buy the whole damn forest!
Previously:
Nov. 10, 2023
Renewable Fuel: "Wood Pellet Giant Enviva Discloses a Financial Crisis"
June 2022
"Ban on Russian wood pellet exports to Europe to cause difficulties with waste disposal at Russian sawmills"
Ah ha! Maybe these sanctions will be the ones that bring the Russians to their knees.
Thursday, May 30, 2013:
Bonfire of the Subsidies: Europe Returns to Early Stone Age Fuel as Putin Mocks
From Nov. 2012:
Mocking Europe's Energy Policy: "Putin invites Europeans to Siberia for firewood"
From RT:
European countries should pursue a balanced energy policy, otherwise they will have to buy the firewood in Siberia, Russian Prime Minister Vladimir Putin has joked.Good yuks from the old propagandists at the former Russia Today.
Putin made it clear again that Europe and Russia are dependent on each other. He was speaking with German businessmen in Berlin on Friday. They gathered at a business conference organized by the German newspaper Sueddeutsche Zeitung.
“The German public does not like the nuclear power industry for some reason,” Putin said, adding that he would not comment on it. “But I cannot understand what fuel you will take for heating,” he said anyway.
“You do not want gas, you do not develop the nuclear power industry, so you will heat with firewood?” Putin asked, as reported by Itar-Tass. “Then you will have to go to Siberia to buy the firewood there,” he said, adding that Europeans “do not even have firewood.”
*Drax is the largest power plant in Britain at just under 4 megawatts capacity and has been converted from coal to biomass-and-coal to biomass base load with natural gas peakers.
Some of our previous looks at wood-fired electricity in Europe:
Back to the Future: "UK’s Renewable Energy Targets Drive Increases in U.S. Wood Pellet Exports"
"What's Replacing Coal In Europe? Imported Wood"
If interested see also the Guardian, "Drax to double wood pellet production with biomass firm purchase".
*Don't get me started on
Nationality AmericanOccupation Criminal mastermindAffiliation IndependentStatus Deceased; shot by a poison dart and blasted into space by James Bond
