A new contract to design and build wood pellet facilities at the Port of Tyne has been awarded to British contractor Spencer Group.
Lynemouth Power Ltd, which operates Lynemouth Power Station on the Northumberland coast, has awarded a contract to the specialist engineering business for the design and construction of a facility for the handling, storage and rail-loading of wood pellets at the port.
Spencer Group said that up to 200 construction jobs would be created as a result of the contract and work on the project had already begun.
The facilities are located at Tyne Dock, South Shields, where the Port of Tyne recently invested £25M in extending Riverside Quay to support the project.
The new facility will handle up to 1.8M.t of wood pellets annually; offering the capability to meet the full requirements of Lynemouth Power Station, said the group.
Spencer Group said that its fully integrated and automated system would enable wood pellets to be conveyed mechanically to one of three newly-built silos, each capable of storing 25,000t of material. The pellets would then be discharged from the silos via two conveying streams to a rail-loading facility to take the material to Lynemouth.
It said that particle controls would be in place throughout the system, as well as sophisticated measures to monitor and manage the condition of the wood pellets.
The Spencer project also includes construction of a control room, workshops, stores and welfare facilities, creating a standalone facility at the port. In addition, Spencer will carry out modifications to the existing rail infrastructure to provide dedicated rail lines to serve Lynemouth Power Station and connect the new facilities to the 11,000V mains supply.
The company has previous experience building biomass facilities, including designing and building a biomass reception, handling and storage facility at Drax Power Station in 2010.
“This is the largest single contract Spencer Group has secured in the materials handling and storage sector and is great news for everyone within the business,” said Spencer founder and executive chairman Charlie Spencer.
“We are proud to be contributing once again to a significant project supporting the UK’s transition to a secure and sustainable low-carbon economy.”