Rentech Commences Start-Up of the Atikokan Wood Pellet Facility
October 28 2014 - 3:00PM
Business Wire
Rentech, Inc. (NASDAQ: RTK) announced today that start-up of the
Atikokan wood pellet facility has begun. During the next few weeks,
the plant will undergo safety inspections, equipment testing and
final commissioning.
Sean Ebnet, senior vice president of Rentech’s wood fibre
business, said, “I’m pleased to reach this important milestone at
the Atikokan facility. Our Canadian team has done a superb job
managing the construction of Rentech’s first two pellet plants,
through one of the worst winters on record. We are excited about
beginning operations and bringing jobs back to these communities.
The staff we have assembled at both facilities has deep experience
operating large fibre mills, and includes the key members of the
teams that ran the Atikokan and Wawa mills when they operated as
fiberboard and oriented strand board facilities.”
The company expects the Atikokan facility to produce pellets in
the coming weeks. The existing arrangement of delivering
third-party pellets to Ontario Power Generation (OPG) will be
curtailed as the Atikokan facility ramps up production. The total
design capacity of the Atikokan wood pellet facility is 100,000
tonnes. Under the terms of the long-term contract, OPG will
purchase 45,000 tonnes of pellets annually from the Atikokan
facility at the plant gate. The remaining output will be available
for sale to OPG or other customers.
Delays in equipment deliveries by certain vendors have prolonged
construction and start-up of the Canadian pellet plants.
Commissioning and start-up of the Wawa facility are expected to
begin in November and continue through the end of the year, with
production to follow. The first shipment of pellets to Drax is
expected to occur in the second quarter of 2015, in coordination
with Drax’s ship schedule. All major equipment is in place at Wawa,
and certain critical items, including the drying system, bark
furnace and both log cranes, have already been commissioned and are
operational. Other than the equipment delivery delays, construction
of both projects has proceeded as planned.
About Rentech, Inc.
Rentech, Inc. (NASDAQ: RTK) owns and operates wood fibre
processing, wood pellet production and nitrogen fertilizer
manufacturing businesses. Rentech offers a full range of integrated
wood fibre services for commercial and industrial customers around
the world, including wood chipping services, operations, marketing,
trading and vessel loading, through its subsidiary, Fulghum Fibres.
The Company’s New England Wood Pellet subsidiary is a leading
producer of bagged wood pellets for the U.S. heating market.
Rentech manufactures and sells nitrogen fertilizer through its
publicly-traded subsidiary, Rentech Nitrogen Partners, L.P. (NYSE:
RNF). Please visit www.rentechinc.com and www.rentechnitrogen.com
for more information.
Safe Harbor Statement
This press release contains forward-looking statements as
defined in the Private Securities Litigation Reform Act of 1995
about matters such as the expected construction, commissioning,
start-up, production and delivery times for pellets from our
Canadian wood pellet projects. These statements are based on
management’s current expectations and actual results may differ
materially as a result of various risks and uncertainties. Other
factors that could cause actual results to differ from those
reflected in the forward-looking statements are set forth in the
Company’s prior press releases and periodic public filings with the
Securities and Exchange Commission, which are available via
Rentech’s website at www.rentechinc.com. The forward-looking statements
in this press release are made as of the date of this press release
and Rentech does not undertake to revise or update these
forward-looking statements, except to the extent that it is
required to do so under applicable law.
Rentech, Inc.Julie Dawoodjee CafarellaVice president of
Investor Relations and Communications310-571-9800ir@rentk.com
Rentech, Inc. (NASDAQ:RTK)
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