
Biomass Fuel Pellets
The market for biomass fuel pellets is rapidly developing as energy consumers recognize the benefits of densified biomass energy. Increasing interest in the environmental and economic benefits of biomass fueled heat and power are driving North American demand. Additionally, European markets for heat and electricity generated by the combustion of biomass fuel pellets have grown significantly because of the economic and environmental benefits available through the use of this fuel. These price increases have lead to a significant amount of interest in the development of pellet manufacturing outside of
Cedars Capital, LLC offers a unique skill set of project finance and commodity market understanding to developers of these projects. Cedars Capital, LLC provides advisory services including project development, financing and biomass fuel pellet marketing for clients who have identified opportunities, but are missing skill sets necessary to successfully complete projects.
Several of the biomass pellet developers have communicated a 'wish we had come here first' frustration in dealing with other members of the financial community that do not have the biomass and commodity experience that exists at Cedars. Cedars can provide the complete package of business plan development, critical path identification and financial underwriting.
Cedars works with various funding sources, including institutional and private equity capital that are looking to invest in development projects and completed and operating plants. Cedars also has significant funding sources for debt that is ideal for funding senior and junior debt for the construction of pellet plants. Further, Cedars has identified leasehold financing that can utilize the accelerated tax depreciation methods available as another source of funding. For plants that are shipping products overseas, Cedars has identified sources of prefunding export investment tax credits and research and development dollars that can add additional value to a project.
Facilities that are supplanting existing fossil fueled projects may be available for carbon credits. The Cedars Capital team understands the carbon credit markets and can help its clients monetized the many aspects of biomass pellet plants.