Exploits Pelletizing Inc. has received a $75,000 term loan from the Provincial Government to manufacture wood pellets from the waste generated from its sister company Blanchard�s Cabinet Doors. By manufacturing wood pellets the company fully maximizes its raw materials and creates a product with significant market potential.

"This initiative characterizes the spirit that is prevalent throughout many of our province�s businesses and industries," said the Honourable Trevor Taylor, Minister of Innovation, Trade and Rural Development. "Where many companies see a challenge, Exploits Pelletizing has taken an innovative approach to utilizing excess residue and sawdust to introduce a new source of revenue and manufacture wood pellets � a green, environmentally-friendly source of energy."

Targeting residential and commercial facilities, the Canadian wood pellet industry tripled in size between 2002 and 2006. Secondary markets exist in the agricultural field where pellets are used as bedding for horses and other farm animals.

"We are very excited about our new venture, as well as the support from the Provincial Government," said Rodney Blanchard, President, Exploits Pelletizing. "The production phase of the manufacturing operations, which we expect to begin in early 2009, should result in many new opportunities for our operation."

Based in Bishop Falls, Exploits Pelletizing is operated by entrepreneurs who have close to 50 years of business experience. Their collective experience enabled them to recognize a long-term strategy to utilize its materials, along with potentially that of other manufacturers.

"This is an impressive accomplishment for the company�s operators who identified an opportunity to expand their business, and ultimately strengthen its operations," said Clayton Forsey, MHA, Exploits. "I am confident in a prosperous future for Exploits Pelletizing � a future that will stimulate both employment and economic opportunities for local residents and other businesses."

Financial support was provided through the Small to Medium-Sized Enterprise (SME) Fund. Administered by the Department of Innovation, Trade and Rural Development, the SME Fund is available for start-up, modernization, or expansion of a business venture in key growth sectors. A maximum of $500,000 is available per project with an applicant investment of up to 20 per cent of project costs.

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Media contact:

Scott Barfoot
Director of Communications
Department of Innovation, Trade and Rural Development
709-729-4570, 690-6290
scottbarfoot@gov.nl.ca

2008 10 16                                                    10:20 a.m.