The option of biomass in the industry with the current price of natural gas

Biomass versus natural gas
Alex Mas, director of business development at Sugimat, explains in his latest blog post that it is possible to amortize an industrial biomass boiler in 12 months with current natural gas prices

Sugimat is a company associated with AVEBIOM, specializing in the design and manufacture of industrial biomass boilers

The reference price of natural gas for the Iberian Peninsula has been rising gradually throughout 2021 and, now, with the conflict between Russia and Ukraine, it has increased by more than 10 times its price a year ago.

Alex Mas presents the option of switching to biomass to those industries that face the expiration of their gas supply contracts soon and fear the impact of high prices on the profitability of their activity.

Remember that biomass technology for thermal uses (whether in the form of steam, thermal oil or hot water) has been implanted for years in all types of industries: chemical, canning, wood processing, among others, reliably and guaranteeing production regimes greater than 8.200 hours/year

12 months to amortize a biomass boiler with the current cost of gas

"Due to the paradigm shift in energy costs, with the current prices of natural gas and a barrel of oil, the investment is amortized in a few months", assures Mas.

And he illustrates it with a concrete example: a 5 MW industrial boiler, working 6.500 hours a year with a yield of 85% and an investment of two million euros. For a price of €18/MWh of forest chips compared to €100/MWh of natural gas.

With these input data, the amortization period would be 12 months.

Full article