Active Energy Group (AEG) has partnered with Georgia Renewable Power to form Active Energy Renewable Power, a joint venture company.
Image: Active Energy forms JV with Georgia Renewable Power.Photo courtesy of Jenny Rollo/Freeimages.com.
As part of this joint venture agreement, Active Energy Group and Georgia Renewable Power will install CoalSwitch facilities at three biomass-to-energy power plants in US totaling 165MW.
The first installation will take place in Lumberton, North Carolina. The plant will use existing facilities and equipment currently owned by AEG at its site in Utah. The JV intends to begin the work immediately with an aim of beginning commercial production facilities installed by the end of last quarter of this year.
The installation will be assisted by the use of GRP’s existing steam and drying capacity at its power plants. The JV will also use GRP’s infrastructure to procure feedstock. It also plans to double production of CoalSwitch at its facility to 10 tonnes per hour during the first half of next year.
Active Energy CEO Michael Rowan said: “This is an important development for Active Energy, which we believe will result in a significant increase in CoalSwitch and PeatSwitch production capacity in the US, the diversification of AEG’s activities in terms of both geography and feedstock, and additional revenue streams through biomass trading.”
Second and third installations of CoalSwitch plant will take place at GRP’s other biomass-to-energy power plant locations in Carnesville, Georgia and Colbert, Georgia. Each of these plants are presently under construction and are expected to be commissioned by the middle of next year.
Active Energy Renewable Power intends to install 25 tonne per hour CoalSwitch facilities at each site in the next 36 months. The JV aims to expand the company’s CoalSwitch production capacity up to 100 tonnes per hour in the region, dependent on feedstock availability and market opportunity.
Besides, the joint venture also intends to work on several additional projects. It aims to develop a commercial market, through AEG, for high density baled dry wood chips.
Rowan said: “This agreement will shorten the time scales for large scale commercialisation of our CoalSwitch and PeatSwitch products and will also allow AEG to benefit from the experience and the presence of our partner GRP, thus strengthening our capabilities in the next operational phase of our business plan.”