But Intrinergy, a Shockoe Slip alternative energy firm with operations in Europe and Latin America, is taking the opposite growth approach and looking hard at building one or two wood pellet plants in Virginia.
Power plants could burn the pellets instead of coal to generate electricity.
Intrinergy is talking with various counties and economic development agencies in Virginia, Chief Executive John Keppler said. The company is looking at acquiring existing plants or building new ones from scratch.
“There is demand from U.S. utilities looking to provide alternatives to coal-fired generation, and biomass with wood pellets is one of the most compelling alternatives,” Keppler said, adding that each plant could be an investment of between $15 million and $50 million.
They would be the first physical plants in the state for Intrinergy, which has its offices on Cary Street in Shockoe Slip. The company wouldn’t disclose exactly what towns might be involved but did say South Side Virginia is attractive because of the forests and access to deep-water ports in Hampton Roads.
The company recently secured another round of financing from the New York private equity firm Riverstone Holdings, which will help the company expand in the United States and Europe.
Aaron Kremer is the BizSense editor. Please send news tips to [email protected]