Australia's Sweetman signs biomass supply deal for 15-MW plant in Japan

Australian company Sweetman Renewables Ltd today announced a 20-year contract to supply biomass to a 15-MW power plant in Japan.

As part of the agreement, the company's subsidiary, Sweetman Biomass, will provide 60,000 metric tonnes of green wood chips annually for the facility near the city of Kitakyushu. The contract will secure USD 4.5 million (EUR 3.8m) of recurring annual revenue.

This is the first deal in Japan for Sweetman Renewables, which expects to seal supply agreements for many coal-to-biomass conversion projects in Japan over the next years, director Garry Millar commented.

The company also has a waste wood biomass supply contract with Verdant Earth Technologies Limited for a 151-MW facility in New South Wales.

The latest contract comes as Sweetman Renewables prepares to float on the Australian Stock Exchange. In the long-term, the company plans to become a leading green hydrogen producer in Australia in addition to its biomass business.

(USD 1 = EUR 0.843)

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