CaliPharms Inc (KGET)

[twosecure]

GOOD TIME TO BE IN THE AMERICAN WOOD_PELLET_BUSINESS

It’s a good time to be in the American wood pellet business. Dozens of manufacturers, increasingly concentrated in the Southeast, are now approaching production of 10 million annual short tons of wood pellets — ostensibly made from the leftovers at lumber mills or from the branches, slash and other woody material found on the forest floor. Another 6 million short tons of capacity is now planned or under construction, according to industry data, making the U.S. the single largest wood pellet producer in the world.

To a large extent, these pellets will end up as fuel for massive municipal boilers in Europe, where wood is increasingly replacing coal as a means of producing heat and electricity — a move that many governments there consider comparatively clean and climate-friendly. Exports from the U.S., largely headed to E.U. nations, doubled between 2012 and 2013, jumping from 1.6 million short tons to 3.2 million short tons, according to federal statistics, with some industry speculators guessing that those numbers — nudged by tough emissions goals that European nations must meet in the next five years — could increase 10-fold by 2020.

The story is similar globally. Data published last month by the United Nations’ Food and Agriculture Organization indicate that worldwide wood pellet production in 2013 swelled by 12 percent, year over year, reaching 25 million short tons — with nearly 60 percent of that volume traded internationally. Data from Navigant Research suggests that global revenues from biomass power generation could reach $11.5 billion annually by 2020.

http://www.forbes.com/sites/tomzeller/2015/02/01/wood-pellets-are-big-business-and-for-some-a-big-worry/

http://ih.advfn.com/p.php?pid=nmona&article=64669246

GLTA the KGET shareholders