Drax Expands Wood Pellet Operations to Power Aviation and AI

Drax, a large British company that combines electrical power generation in the U.K. with wood pellet manufacturing in the U.S. announced two new pellet production and sales efforts in the Southeast U.S. as 2024 drew to a close.

Drax announced that it will supply wood pellets for the production of sustainable aviation fuel at a planned Pathway Energy plant in Port Arthur, Texas. Wood waste is among several energy sources under consideration for aviation fuel. Carbon capture technology is planned for the plant, which is projected to produce 30 million gallons of carbon-free jet fuel annually.

Fuel from the plant is expected to become available in 2029. The aviation industry is under pressure globally to convert its fuel supply to one that has reduced carbon emissions.

Drax maintains 13 wood processing plants in the U.S. and Canada.

Drax imports wood pellets from the Southeast United States for more than 60% of its biofuel energy, which is used to generate electricity in the United Kingdom, including at a generating plant in North Yorkshire.

The company is also considering pairing a new subsidiary called Elimini, based in Houston, with generating plants to provide renewal power for data centers under development or planned to provide burgeoning electrical power needs for artificial intelligence.