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Enviva announces US$250 million investment in Bond

Enviva announces US$250 million investment in Bond
On April 5, 2022, Governor Tate Reeves announced that Enviva is opening its fourth Mississippi facility by locating its third wood pellet plant operations in Bond in Stone County (photo courtesy Office of the Governor).

In the United States (US), Enviva Inc. (Enviva), the world's largest industrial wood pellet producer, has announced it will invest approximately US$250 million in Bond, Mississippi (MS) to build a new wood pellet production plant.

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The Bond facility is a key component of the company’s growth strategy to double production capacity from the current 6.2 million tonnes annually to approximately 13 million tonnes annually over the next five years.

Markets for our renewable products have been growing rapidly as countries look for new ways to reduce their dependence on coal, natural gas, and other fossil fuels for heat and power generation, said John Keppler, Enviva’s Chairman, and CEO.

The facility site, directly off Highway 49 in Bond, was selected in close collaboration with Governor Tate Reeves, the Mississippi Development Authority, and Stone County officials.

We very much appreciate the skilled workforce and great business environment in the state. I want to thank Governor Reeves, his team, and the Stone County community for being such great partners during site selection, John Keppler said.

Fully contracted production

“Demand from manufacturers driving to reach ‘net-zero’ by decarbonizing industrial production of steel, cement, lime, and sustainable aviation fuel is also growing rapidly for us. And in an increasingly volatile geopolitical environment, countries and companies around the world are seeking the security of supply from stable partners like the United States,” said John Keppler, Chairman, and CEO of Enviva.

The plant is fully contracted under long-term take-or-pay supply contracts with customers around the world, providing for a durable, positive economic impact on the community.

In addition to creating around 100 local jobs with wages projected to be approximately 70 percent higher than the county average, the Bond plant will generate more than US$1 million in taxes per year for the county and school district and deliver over US$250 million annually in economic impact in the region.

Once operational, the plant will support more than 350 jobs, including those in related industries such as logging and transportation.

This new facility, the community in which it operates, and the tremendous people who support it every day will continue Mississippi’s strong tradition of helping friends across the globe secure energy independence and win the fight against climate change, John Keppler said.

Third Enviva plant in Mississippi

The new plant in Stone County joins two other Enviva facilities in Mississippi, one in Amory, which is Enviva’s first production plant in the state, and the company’s most recent manufacturing facility in Lucedale.

The company also owns and operates a deep-water marine terminal at the Port of Pascagoula from which pellets are shipped to customers in Europe and Asia.

Combined, Enviva’s total investment in the Magnolia State is more than US$600 million and supports over 850 direct and indirect jobs in Mississippi.

Enviva’s decision to invest a quarter of a billion dollars and create 100 new jobs in Mississippi is another tremendous win for our state’s economy. It’s further proof that Mississippi is a prime location for manufacturing. I’m incredibly proud that these wood pellets, produced right here by hardworking and skilled Mississippians, will be distributed and used around the globe, said Governor Tate Reeves.

Fibre basket

Construction is expected to begin in early 2023, subject to receiving the necessary permits, and is expected to take approximately 18 months.

The Bond plant is expected to have a production capacity of over 1 million tonnes of wood pellets per year.

Mississippi has a robust fiber supply basket, and the plant intends to use low-value and low-grade softwood and hardwood fiber sustainably sourced within 75 miles of the facility, creating durable markets for local landowners and incentives to keep land as forests.

Stone County was founded on the timber industry more than a hundred years ago. Our citizens have long respected the woods and the natural resources they provide, said Lance Pearson, President of the Stone County Board of Supervisors.

The facility will use state-of-the-art environmental control technology to minimize any impact of the plant’s operation on the community.

With the announcement of Enviva, we have an opportunity to produce a record number of new jobs because of the plentiful resources in Stone County. Our most important asset, our people, will benefit from the growth we will experience for decades to come, said Lance Pearson.

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