Estonia-headed wood processing technology provider AS Hekotek has announced that it has, via its Russian representative SORB LLC, concluded an agreement to supply wood pellet production equipment to Ksilotek-Sibir LLC, an affiliate of Russia-based forest industry major Segezha Group, part of the joint-stock financial corporation Sistema. To be built on the site of LDK No.1 in Lesosibirsk, Krasnoyarsk Region, start-up for the 100 000 tonnes per annum capacity plant is planned for late 2018.
According to Hekotek, the pellet plant project is a part of a priority investment programme in the field of forest development ‘Development of a full-cycle woodworking complex in the town of Lesosibirsk’, released in September 2015 and valid for a 5-year period. The project provides integrated use of forest resources, including waste management by converting it into wood pellets and heat energy.
The value of the order is in the region of EUR 6.9 million with delivery expected during the first quarter of 2018.