The factory will be one of the largest and best equipped in the Northwest Russia – annual designed capacity being 50 000 tons. Raw resources will be supplied from the Leningrad and other regions. A sawmill and a glued structural bar mill are to be built within the same premises in the nearest prospect, to receive a total of over 10 mln Euro in investments.

BFH, as well as other companies, will supply pellets to the countries of West Europe. “The biofuel market offers many opportunities, so we are planning new production facilities in the Leningrad region and other regions of the Northwest Russia that have resources of the raw material – technical wood largely unused by loggers”, director general Andrey Ponomarev says.

Reference:
- Baltic Forestry Holding, OJSC headed by Andrey Ponomarev is affiliated to Ust Luga Company, OJSC.
- In the Lenigrad region, such companies as Greenpower, RosPolitechLes, Biotec, Ecotech are operating in this sector. Each company produces an average of about 20 000 tons of pellets per year.
- Northwest accounts for about 80% of biofuel produced in Russia (about 150 000 tons of pellets produced last year) – due to the availability of raw material resources as well as logistics – 90% of products are transshipped via the port of St. Petersburg.

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