Drax Group Announces $50 Million Investment to Expand Its Aliceville, Alabama, Wood Pellet Plant

Citing growing global demand for biomass, Drax Group, a renewable energy company, announced that it is investing $50 million (USD) to expand its Aliceville, Alabama, wood pellet plant. The expansion will include upgrades to existing systems as well as new truck dumps and pelletizer units, which will allow for an increase in the amount of sawmill residuals processed.

Situated in an area with a large quantity of wood and timber, Aliceville is well-suited to be the hub for sustainable forestry and the biomass industry, Drax said. The area around Aliceville has a large number of existing sawmills that produce the residuals needed to support sustainable wood pellet production.

According to the company press release, the investment in Aliceville will increase production capacity by nearly 50%, from 250,000 tons to 380,000 tons annually. The additional capacity is expected to begin in 2024. The investment will help Drax meet its goal to increase global pellet production capacity from 5 million to 8 million tons by 2030.

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