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Renegy |
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Renegy,
LLC and Renegy Trucking, LLC (Renegy) are companies that
are bidding and contracting with the USFS and other parties
to harvest and haul biomass fuel for SWMP. The material
comes principally from the USFS Rodeo-Chediski Fire area
and subcontracting from the stewardship contract awarded
to Future Forests, LLC in Sept. 2004. Renegy is also running
two sawmills with up to a 20 million board foot capacity
in Snowflake, AZwith over 50% of the sawlog waste becoming
hog fuel for the SWMP biomass plant. Renegy is removing
all excess biomass refuse at 2 disposal sites (Forest
Lakes, Heber/Overgaard), and several 3rd party sawmill
sites (Clay Springs, Showlow, Snowflake, FATCO’s
Cibecue and Whiteriver sawmills). Renegy’s sole
mission is to provide cost-effective forest residue biomass
fuel to SWMP, LLC by processing in the woods, transporting
and then manufacturing lumber, mulch or other high value
products to substantially reduce the cost of by-product
biomass hog fuels. |
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In
June 2002 the largest forest fire in the history of the
southwest, the Rodeo-Chediski Fire, burned over 475,000
acres within 20 miles of the plant site. Renegy, LLC is
harvesting the fire damaged trees under individual contracts
with the USFS. Renegy, LLC has over 20,000 acres of the
fire-damaged area under contract with an estimated volume
of over 300,000 tons of biomass and over $4 Million of
retail value of saw logs. The most optimistic plan is
for the saw log operations at the Renegy sawmills will
generate sufficient cash flow in the next two years to
fund the accumulation of biomass fuel for the biomass
facility. The biomass plant will need over 100,000 bone
dry tons of biomass annually to operate given the paper
sludge available from Abitibi. The objective of Renegy
is to stockpile at least a 3 year supply of fuel before
operations commence. The belief is that stockpiling will
accomplish two things… security for the plant and
negotiating strength with local sources of biomass fuels
(eg. sawmills, reservation forestry personnel and USFS
thinning operators). |
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On
August 15, 2004 Arizona received the largest stewardship
contract in the history of the US Forest Service to thin
unburned areas of the forest that are unhealthy due to
crowding, beetle kill and draught conditions that have
plagued Arizona’s forests recently. Renegy has contracts
to receive over 70,000 tons of green biomass from these
contracts. |
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Renegy
has also been assured by the General Manager of Fort Apache
Timber Company (FATCO--the exclusive lumber operation
for the BIA and Apache Tribe in the White Mountains) that
SWMP has the ability to buy sawdust and ground sawmill
waste FOB FATCO. To commence this relationship, in January
2005 Renegy contracted with FATCO to remove the remaining
pile of chips from the closed Cibecue sawmill. |
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Apache
and Sitgreaves National Forest Site |
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NZ
Legacy lands sit on or near the Apache and Sitgreaves
National Forest and the vistas of the 7.600 ft. forested
Mogollon Rim. The Apache and Sitgreaves National Forest
covers over 2 million acres of pristine wilderness in
east-central Arizona. To learn more about this national
forest, visit the U.S.
Forest Service website. |
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