- Renewable energy company Active Energy said Monday its subsidiary, Timberlands International, had received confirmation that its application for two five-year commercial timber permits had been approved.

The commercial timber permits were for Forestry Management Areas 17 and 18. Each permit was issued with a five-year revolving renewal facility, the company confirmed.

The company would now commence planning for the commercial development offorestry opportunities and construction and installation of the first 'CoalSwitch' plant in Newfoundland.

CoalSwitch, a biomass drop in coal replacement fuel, provided an 'economic solution to the expensive retrofitting of power stations,' the company said.

Active Energy also said that it intended to acquire a site, which included an established factory and surrounding land, in North Carolina to establish CoalSwitch operating facilities.

The company remained on schedule to commence commercial production of CoalSwitch from its five tonne per hour plant early in 2019, Active Energy confirmed. 'This is a significant achievement both for the Company and Newfoundland and one which will bring rewards for all parties in the years to come. It is important to note that in addition to delivering value to our Group, it will also provide positive economic opportunities to the many various stakeholders in the Province,' said Active Energy Chief Executive Officer, Michael Rowan. 'We are also making solid progress towards establishing our first CoalSwitchâ„¢ plant in North Carolina on a now identified site adjacent to our JV partner Georgia Renewable Power LLC's operation in Lumberton. We anticipate achieving first commercial production of CoalSwitchâ„¢ early in 2019, with these revenues being supplemented by biomass sales utilising the initial biomass supplies from North Carolina and providing the Group with a strong pipeline of potential revenues in the near term.'

At 8:23am: [LON:AEG] Active Energy Group share price was +0.25p at 1.95p

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