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CALGARY — A Calgary-based energy company plans to turn wildfire deadwood from northern Alberta into biofuel at two new production plants, creating more than 500 jobs and offering what it calls a low-carbon alternative to coal.
PowerWood Canada Corp. says its first facility will be built near La Crete in Mackenzie County on 65 acres where site work is already finished. Construction is scheduled to begin in spring 2026, with up to 290 jobs expected through construction, operations and supply. A second plant is planned near High Level, northwest of La Crete.
The company will use steam explosion technology to turn fire-damaged timber, diseased trees and forest debris into black biofuel pellets. CEO David Peters says the process reduces carbon emissions by 94 per cent compared to coal and helps remove fire-prone deadwood that fuels wildfires in northern forests.
PowerWood says it has secured long-term Crown timber licences and has signed a take-or-pay deal with a Fortune 500 company in Japan to buy all of the fuel produced at its Peace River facility. Full production is expected in early 2027, with a capacity of 350,000 tonnes of pellets per year.
The plants will be the first in Canada to use steam explosion technology, developed by industrial firm Valmet and currently in use in France, Norway and Malaysia. The project is being built by WB MelBack Corp. PowerWood is a subsidiary of UK-based CoAlternative Energy and plans to list on the Toronto Stock Exchange in 2026.









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