The world’s larger producer of wood pellets, U.S.-based Enviva, reports it executed a new, firm five-year take-or-pay off-take contract to service growing demand for wood pellets in the Netherlands and elsewhere. Deliveries under the contract are expected to commence in 2020 with volumes of 200,000 metric ton per year.

Enviva’s previously announced 18-year take-or-pay off-take contract to supply wood pellets to a new biomass power plant located in Japan is now firm. Deliveries under this contract are expected to commence in 2022 with volumes of 440,000 metric tons per year.

Enviva also said it expects the Hamlet, NC wood pellet plant to achieve commercial operations this summer and reach its nameplate production capacity of approximately 600,000 metric tons in 2021. The partnership is finalizing construction of the Hamlet plant and has begun commissioning major process islands. Enviva continues to make progress on pre-construction activities for a deep-water marine terminal in Pascagoula, Miss. and a wood pellet production plant in Lucedale, Miss.