brites Fuel for the Future

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brites Fuel for the Future
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Balcas

• Established 1960s, 650 employees, TO 65m
• Timber milling in Enniskillen and Russia
• CHP/Pellet Manufacturing Plant, Enniskillen
• Architectural mouldings, Kildare, Ireland
• 2009 CHP/Pellet Manufacturing Plant, Invergordon,
  Scotland
• 1st English Depot open, Feb 2009

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Going Forward - UK Distribution
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Invergordon

• Support from Scottish Executive
• Operational 2009
• Similar to Enniskillen
• 100,000t capacity
• 25 million investment
• Reduce carbon footprint

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brites

• Clean to handle
• Clean on the environment
• Natural
• Carbon Neutral
• As convenient as oil and gas delivery

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brites wood pellets

• Made from virgin wood with no contaminants, or
  bark
• Lignin acts as a binder, wheat starch added
• Oil Comparison
• Energy used in pellet production is generated on
  site from wood fuelled CHP plant
• Production Process brites manufactured to CEN/TS
  14961

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brites cost

• Price competitive against traditional fuels
• ROI Depot Cork/Dublin
• 10kg brites bags available at retailers
  throughout Ireland
• Distribution Centres Bristol and Essex
• Security of Supply Invergordon

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Current situation in Ireland

• Online ordering system for domestic customers
• 3800 Domestic Customers
• 200 Bagged Retailers
• 200 Commercial Customers

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As Easy as Ordering Heating Oil Via Internet
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Current situation in Ireland Commercial Projects

• 15 schools
• 13 hotels (one using 70 tonnes/week)
• 3 office blocks
• 3 retail centres including IKEA
• 5 leisure centres
• 2 fire stations
• 3 hospitals
• 2 district heating systems

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Fermanagh Customers

• 22 Commercial
• 100 Domestic
• Share Centre, Manor House, Belle Isle, Schools,
  DVA, Fermanagh College, Waterways
• Local Fuel Source

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Commercial Customers

• Fuel Choice
• Planning Stage
• Boiler Suppliers
• Security of Supply
• Fuel Store Type and Size Storage paramount to
  installation working correctly - Checklist
• Delivery Method
• ESCO/District Heating

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Biomass - Woodchip

• Dual Fuel
• Willow Chip, Forest Thinning, Recycled Material
• Particle Size
• Moisture Variability/Fuel Spec.
• Storage Space
• Raw Material Availability
• Cost/Heat Output
• Feed Mechanism
• Maintenance/Operation
• Security of Supply Fuel Contract

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Community/District Heating

• Network of underground heat mains
• Central Boiler House
• Each dwelling metered
• Continent Leading

• Ease of use
• Less space required
• No fuel storage
• No annual maintenance
• No flue
• Less HS risk
• Building Regs
• Local jobs

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ESCO

• 1. Customer manages ESCO
• 2. Customer purchases plant and boiler supplier
  designs, builds, operates, maintains plant and
  manages fuel supply
• 3. ESCO includes capital finance, 5-15 year
  contract

• Price premium if customer passes risk and admin
  to ESCO provider
• Less risk attractive to some customers
• Will heat required meet projections?
• Credit risk Domestic Customers
• Contract needs to be watertight

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Boiler Supply

• Balcas do not install pellet boilers
• We work closely with many installers, and are
  becoming more involved at design stage.
• We have produced a Design Guide.
• Common interest in customer satisfaction
• We seek - through cooperation and dialogue - to
  jointly bring confidence to clients
• We are developing a Code of Practice

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Delivery

• Transport to customers as important as
  production.
• Actual delivery to end customer is as important
  as production process
• Modern lorries with capable trained drivers.
• Inspect stores, deal with customers, field
  complaints make decisions
• The driver is more important than the lorry

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Case study
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Commercial Delivery in UK
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What have we learnt?

• Customer confidence easily damaged
• Supply chain must co-operate
• Internet Ordering
• Balcas promote total quality attitude from
  sawdust to boiler
• Balcas Installer list
• Driver Training relationship
• Price Stability - Key
• Stock Back up

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Conclusions

• Balcas No.1 UK/Irish supplier of pellets 150k/yr
• Quality is about total supply chain quality
• Stable pricing is the key to market growth
• Security of pellet supplies are paramount
• Balcas will work closely with boiler
  installers/specifiers
• Balcas has three years of delivering brites
• Balcas will bring confidence into the market and
  confirm brites as main pellet brand UK

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Contact Details

• Further details contact Paula Keelagher,
  Technical Development Manager
• 02866 411001, www.brites.eu