InvestorsHub Logo
icon url

techisbest

03/03/13 1:24 PM

#40975 RE: techisbest #40974

I think I found my answer. Some of both.

http://investorshub.advfn.com/boards/read_msg.aspx?message_id=78497541

The St-Malo project will implement the KDS technology to convert wood residues to wood dust, either to fuel dust burners and pellet burners, or the produce wood pellets. A pellet burner and a dust burner will be retrofitted on current steam boilers at St-Malo, in replacement of gaz burners, to generate cheaper and cleaner energy. Both types of burners will also serve as demonstration of technologies that should spread around over the next years. And these burners will require more wood dust and pellets, which will require more KDS to condition wood residues.

The KDS is the cheapest technology available to grind and dry biomass, when the raw material supply is relatively small, let's say under 50 000 tons/year. The St-Malo project will produce 10 -15 000 tons/y of dry powder. Small quantities allow to get cheaper feedstock at lower cost, to serve local market at short distance and still remain competitive against other sources of fuel. Many potential buyers of the KDS are just waiting to see how the machine will perform at St-Malo to "cut and paste" the model in their own town.

By the way, the province of Quebec has regulated about CO2 emissions; starting on Jan 1st 2013, carbon credits will be sold starting at 10 $/ton of CO2 to large compagnies that are unable to comply with the reduction objectives set by the Ministry of Environment. Since St-Malo is converting from gaz to biomass, it will become a seller of such credits of CO2. You can bet that interested buyers of a KDS will also want to get into this secondary business!