These funds provide financial assistance to establish a state-of-the-art wood pellet manufacturing facility in wells river, vermont, revitalizing a former sawmill site into a hub for sustainable…

Active Project Grant Awarded

Award ID
25DG11094200098
Recipient
Awarding agency
Obligated
$1,000,000

Award facts

Completion date 65% complete
Place of performance
Vermont, USA

Award details come from USAspending.gov.

About this award

The U.S. Department of Agriculture (USDA) Forest Service awarded PK Wood Pellet LLC a $1.0 million Project Grant under the Community Wood Energy and Wood Innovation Program (CFDA 10.708) on September 18, 2025, to establish a state-of-the-art wood pellet manufacturing facility in Wells River, Vermont. The facility will produce 25,500 tons of bulk wood pellets annually utilizing local sawmill residuals as the primary feedstock, with operations targeted for completion by May 31, 2027. The project will create 13 full-time equivalent entry-level positions with full benefits in an economically disadvantaged region, while supporting sustainable forestry practices and reducing transportation emissions associated with distant fuel suppliers.

The manufacturing facility represents a capital investment in renewable heating infrastructure that addresses a significant regional market gap for wood-based energy solutions. PK Wood Pellet will leverage distribution partnerships with bulk distributors such as Lyme Green Heat, a leader in high-efficiency pellet boiler systems, to deliver high-quality pellets directly to end-users. The project is fully permitted and positioned for rapid operational launch. Additionally, PK Wood Pellet received a sub-grant from the United States Endowment for Forestry and Communities on August 28, 2025, to fund acquisition and installation of a Salmatec compacting pellet unit, further supporting the facility's production capacity and quality standards.

Description

These funds provide financial assistance to establish a state-of-the-art wood pellet manufacturing facility in wells river, vermont, revitalizing a former sawmill site into a hub for sustainable energy production. This fully permitted project is poised to begin operations swiftly upon securing funding. The facility will create 13 full-time equivalent jobs, most entry-level with full benefits, offering critical economic opportunities in a region with a median household income well below the state average and a poverty rate nearly double the vermont norm. The project aims to produce 25,500 tons of bulk wood pellets annually, addressing a significant GAP in the regional market for renewable heating solutions. By utilizing local sawmill residuals, this project supports sustainable forestry while reducing transportation emissions and costs associated with reliance on distant suppliers. Bulk distributors like lyme green heat, a leader in high-efficiency pellet boiler systems, will be key partners, ensuring these high-quality pellets directly contribute to regional energy resilience.

Quick answers

Who received award 25DG11094200098?

25DG11094200098 was awarded to PK Wood Pellet LLC by Region 9 - Eastern Region (Forest Service) on September 18, 2025.

How much is award 25DG11094200098 worth?

$1,000,000 has been obligated on 25DG11094200098.

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