Rentech's wood processing business consists of the manufacture of wood chips and wood pellets.
Rentech, through its wholly-owned subsidiary, Fulghum Fibres, processes approximately 15 million tonnes of wood and bark annually into wood chips and residual fuels at its 32 wood chipping mills, 27 of which are located in the U.S. and 5 of which are located in South America.
Fulghum Fibres commands an estimated 70% of the U.S. contract chipping business and approximately 6% of total U.S. chipping market.
Wood pellets provide a clean energy source for power generation. The global demand for wood pellets is forecasted to grow from an estimated 31 million tonnes in 2016 to over 40 million tonnes in 2020, according to RISI’s Global Pellet Demand Outlook Study 2015.
Rentech has positioned itself as an industrial scale supplier of wood pellets in Eastern Canada to the domestic and European utility markets.
The Company has converted two existing fibre mills in Eastern Canada to produce wood pellets for two utilities under long-term contracts.
Through its wholly owned subsidiary, New England Wood Pellet, is one of the largest producer of pellets for the U.S. Northeast heating market.