Swedish and German firms will build a $150 million bioenergy plant in the United States – expected to produce 750,000 tons of fuel pellets each year for shipment to Europe to fuel electrical production.

RWE Innogy of Germany, the largest energy production company in Europe, will fund the facility in Waycross (Georgia, US) and BMC of Sweden will develop the plant, Governor Sonny Perdue said.

The plant will be built on a 300-acre parcel donated by the Okefenokee Area Development Authority, or OADA. The two companies have said they plan to create the world's largest renewable energy capacity of wood pellets at the new facility.

"The plentiful resources in Ware County, such as its abundant forest assets and strategic railroad and highway access to Georgia's deepwater ports, make it an ideal location for this renewable energy facility," Perdue said.

The company will ship pellets "with coal-like characteristics" to Europe for the efficient conversion to electricity, said Mats Lindstrand, the founder and manager partner of BMC.

The pellets will be shipped through the Port of Savannah, officials said.

BMC announced the plant in Waycross this morning during a breakfast meeting with OADA.

"Our region is attractive to companies in the renewable energy industry as a result of the area's accessibility to shipping ports and railways, existing infrastructure and low-cost operating levels," said Regina Morgan, executive director of OADA.

BMC and local officials all lavished praise on Morgan for what has turned out to be months of work in securing the plant for Ware County.

Lindstrand called the Waycross location "perfect for us and we feel very welcomed in the local community."

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