Green Circle to build new plant

COTTONDALE — A Jackson County-based company that produces wood pellets as a renewable energy source plans to begin building a new plant this spring, said Olaf Roed, Green Circle Bio Energy Inc. president and CEO.

“It’s our intention to build new plants,” Roed said. “It’s basically the same as Cottondale.”

Open less than two years, the company announced Wednesday it plans to choose a site for the new plant in Mississippi or Alabama. The new facility is modeled on the original plant and will have a 500,000-ton production capacity for wood pellets used as a coal alternative in Europe. It also will need 75 new employees, just like the current plant, Roed said.

Green Circle chose to pick its second location outside of Florida to diversify access to raw materials for the pellets, Roed said.

“We don’t want to compete with ourselves,” he said.

The company has been considering a second plant for a while, Roed said. The pellet market continues to grow, and Green Circle plans to expand with it, he said.

Green Circle helps the local economy by supporting one of North Florida’s largest renewable resources, pine trees. As paper consumption declines in the digital age, the company creates a demand for pulp wood for tree farmers, Roed said. The company also uses Port Panama City for its exports.

Roed said the decision on where the facility will go will be finalized this quarter. He said he could not give a more specific date.

The company already is considering a third plant, Roed said.