Pellet plant

Project summary

An existing enterprise for the production of fuel pellets, which has experience in the production of these products and has existing export and domestic markets, needs investment to increase capacity, as currently the demand for products exceeds the production capacity of the enterprise. The market for fuel pellets in the next 3-5 years is only expanding, and the price is rising due to the constant rise in energy prices. The production of pellets includes the disposal of wood waste, and therefore such production in Europe is supported by the state and plays an important role in the ecosystem of the region. The European Union has abandoned coal heating, so the pellet now ranks first as environmentally friendly and affordable. This company is located in the Ivano-Frankivsk region in the town of Rozhnyativ. First of all, it should be noted that Ivano-Frankivsk region is one of the most forested in Ukraine: forest lands occupy 635.7 thousand hectares, or almost 46% of the region. The area of land covered with forest vegetation is 626 thousand hectares, and the total stock of stands is estimated at 128 million cubic meters. About 40% of Ukraine's timber reserves are concentrated here, with forest cover ranging from 5.5% (Sniatyn district) to 66.2% (Dolyna and Rozhnyativ districts). The species composition in the forests is dominated by coniferous forest-forming species: European spruce 52%, white fir 5%, the most common deciduous: forest beech21% and common oak 11%. The enterprise is located in the immediate vicinity (from 500 m to 30 km) from the raw material base, namely from about 180 wood processing enterprises, which in the future will ensure an uninterrupted flow of raw materials for the manufacture of products. In addition, sanitary felling and clearing of forest lands will never be banned, and therefore the company will be provided with raw materials in our region in the next 20 years.

If investment is attracted, to increase production capacity, it will be necessary to install a new production line with an average capacity of 70 tons (calculating the return on investment we take a minimum capacity of at least 50 tons per day of finished products. The technology of this production line allows you to work on sawdust, wood chips This line can also granulate feed for farm animals, and in the presence of an additional press can produce fuel briquettes.

The manufactured products are packed in polyethylene bags of 15 kg, on pallets of 1 ton or in polypropylene bags of 1 ton.

This project involves investing 1, 5 million euros. The payback period of the project is about 24 months, when calculating the cost of fuel pellets 65 euros per ton, the selling price of 110 euros per ton, the difference is 45 euros per ton.

CALCULATION:

1t -45 euros

3 tones in 1 hour x 45 euros = 135 euros

135 euros x 22 hours (working hours) = 2970 euros

2970 x 26 working days = 77220 euros

77220 x 12 months = 926,640 euros

77220 x 24 months = 1,835,280 euros