Terrace, B.C. – Plans are in the works for a wood pellet plant in Terrace.

According to a news release, Coast Tsimshian Resources and Pinnacle Renewable Energy Inc. have signed an agreement to work together on a fibre procurement plan and pellet facility.

Coast Tsimshian Resources is owned by the Lax Kw’alaams Band and holds the largest active tree farm license in the supply area of the proposed plant.  Pinnacle currently operates six pellet plans in British Columbia and recently commissioned its Westview Wood Pellet Terminal at the Port of Prince Rupert.

Lax Kw’alaams Mayor and CTR Board Chair Garry Reece says the agreement will benefit the forest industry in northwest BC.

“This agreement is a game-changer for CTR and for the local forest industry.  A wood pellet plant provides a solution for low-end fiber that is sustainable and makes the best use of our forest resources.   We also expect our agreement with Pinnacle to set the stage for other cooperative agreements with our other forestry partners including Skeena sawmills,” says Mayor Reece.

The timeline and location for the proposed pellet facility are not known.