Market Participants

Question 1

Big buyers in Biomass

Answer 1

UK utility drax - need 7mn t per year
RWE German utility
Uniper Germany utility both based in the netherlands.
Osted - Danish utility

Question 2

Big producers in Biomass

Answer 2

US Enviva
Fram Renewables (US)
Pinnacle (bought by Drax in Canada) Drax is a buyer but now they will also be a producer.

Question 3

Are there traders in biomass?

Answer 3

Very few pure biomass traders. Traders are vultures who want to make money on a number of trades and prefer to be busy with liquid markets with spot trades to maximise revenues because they make money a cut.

Doesn’t appeal to trading firms.

It’s a good year if 1mn t is traded on the spot market.

Question 4

· What pure trading companies (with no production or physical need) does your market have? How important are they for liquidity? Do they talk to us?

Answer 4

We talk to people call CMB (copenhagen merchants biomass) Danish trading firm that buy and sell in their own right. They have storage, so they will buy and sell rather than facilitate.

Peltrade - a UK trader and distributor of biomass. Warehouse sin the UK facilitate all the deals that come out of Russia.

Voyage Power - UK broker, good for information, Brody. He worked at Argus and started off the Argus biomass report. He really is helpful.