Pinnacle reveals new ship charter for trans-Pacific transport of pellets
Canada-headed Pinnacle Renewable Energy Inc., (Pinnacle), currently the world's third-largest wood pellet producer has recently revealed the attendance of the company's representatives at the Christening and Launching Ceremony of S1130, a Handy class vessel of almost 40 000 DWT. Pinnacle will be chartering this vessel from NYK Bulk & Projects Carriers, a leading Japanese ocean carrier, on a long term charter to carry Pinnacle's industrial wood pellets from Canada to Japan.
The ceremony, which took place on October 31, 2019, was held at the Shikoku Dockyard in Takamatsu City, Japan. The vessel was named ‘M/V New Pinnacle’ by Rob McCurdy, CEO of Pinnacle Renewable Energy.
According to a statement, the charter is an important element in Pinnacle’s approach to logistics as it continues to participate in the trend of British Columbia (BC) based businesses expanding in Asian markets. For its own part Pinnacle has signed three contracts with customers in Japan in the past six months, underscoring both Japan’s strong commitment to decarbonization and the strength of Pinnacle’s competitive position in this market.
The logistics model we are using will provide both ourselves and our customers the widest possible delivery flexibility at the lowest possible cost, and further opens the significant Japanese market to Pinnacle. We very much look forward to servicing our Japanese customers with this brand new Japanese built vessel, said Vaughan Bassett, Senior Vice President for Sales and Logistics.
To date, Pinnacle has entered into long-term take-or-pay contracts with utilities in the UK, continental Europe, and Asia that represent an average of 108 percent of its production capacity through 2026.