KSG Agro seals pellet supply deal with Polish Energy Partners

Jan 18, 2012 - Ukraine's agricultural producer KSG Agro SA said yesterday it had signed a letter of intent with green energy firm Polish Energy Partners (WAR:PEP) to start deliveries of agricultural biomass pellets.

As part of the agreement, the companies will also discuss future collaboration on expanding KSG Agro's pellet production in Ukraine using PEP's know-how for straw pellet production.

The parties are expected to sign a binding contract in the next two months.

KSG Agro plans to open a new pellet plant this year, which will have an annual capacity of between 60,000 and 90,000 tonnes.

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