Mitsui & Co., Ltd. ("Mitsui", Head Office: Tokyo, President and CEO: Tatsuo Yasunaga) has signed a loan agreement with Australia-based wood pellet manufacturer Altus Renewables Limited ("Altus"), for the purpose of expanding and upgrading wood pellet manufacturing mills and pellet storage and export facilities operated by Altus in Queensland, Australia.
Mitsui and Altus also signed a long-term sales agreement for 100,000 tons per annum of Altus manufactured wood pellets over a ten-year period.
Since Altus started operating its Tuan plant in Queensland Australia, the company has built strong business relationships through its sales of wood pellets to Japan. Going forward, Mitsui and Altus will discuss and consider plans to further increase wood pellet production in Australia, with a view to supplying the Japanese market.
Mitsui is focusing on woody biomass, one of a range of new fuels with a low environmental impact. In recent years Mitsui has increased the volume of imported wood pellets for domestic customers. This is in addition to developing and operating biomass power plants which utilize unused materials from Mitsui-owned forests in Hokkaido. Looking ahead we will continue to respond to the growing need for woody biomass as a renewable energy fuel.