Renewable Energy Power Agreement Reached by Rayonier and Florida Public Utilities Company

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Renewable Energy Power Agreement Reached by Rayonier and Florida Public Utilities Company

JACKSONVILLE, Fla.--(BUSINESS WIRE)-- A renewable energy agreement between Rayonier Performance Fibers, LLC and the Florida Public Utilities Company (FPUC) was commemorated today at an event held at Rayonier's Fernandina Beach, FL mill. Attendees included Adam H. Putnam, Commissioner of the Florida Department of Agriculture and Consumer Services, and other dignitaries. Under the terms of the 10-year agreement approved by the Florida Public Service Commission in July, Rayonier will sell FPUC excess energy generated by a 22.5 mega-watt turbine generator recently installed at its Fernandina mill.

Adam Putnam, Commissioner of the Florida Department of Agriculture and Consumer Services, tours the ...

Adam Putnam, Commissioner of the Florida Department of Agriculture and Consumer Services, tours the new turbine and generator at Rayonier's Fernandina Mill during the event to commemorate the renewable power purchase agreement between Rayonier and the Florida Public Utilities Company (FPUC). Pictured from left to right are: Paul Boynton, chairman, president and CEO, Rayonier, Putnam, and Jeff Householder, president, FPUC. (Photo: Business Wire)


Seven years after investing nearly $30 million in a biomass-fired power boiler at Fernandina, Rayonier installed the new turbine generator at a cost of roughly $25 million. "This project, which makes our Fernandina mill electrically self-sufficient, is the culmination of our renewable energy strategy for the performance fibers business," said Rayonier chairman, president and CEO Paul Boynton. "Our mill in Jesup, GA now generates over 99% of its own power needs, primarily from biomass."

FPUC president Jeff Householder commented, "Our agreement with Rayonier not only provides a local source of renewable energy capable of powering over 1,200 homes, but also lowers our energy costs. Those savings will be passed through to ratepayers in our service territory."

Commissioner Putnam, whose agency houses the State's Office of Energy, said, "One of the mandates of my agency is to foster innovation in energy development while cost-effectively diversifying our energy portfolio, and this contract does exactly that. It means FPUC will now be able to offer electricity from a renewable energy source, enhance system reliability, and save customers over $1.2 million. I applaud Rayonier and FPUC for providing multiple benefits to ratepayers as a result of this agreement."

About Florida Public Utilities Company

Florida Public Utilities Company is a wholly-owned subsidiary of Chesapeake Utilities Corporation. Chesapeake Utilities Corporation (NYS: CPK) is a diversified utility company engaged in natural gas distribution, transmission and marketing, electric distribution, propane gas distribution and wholesale marketing, advanced information services and other related services. Information about Chesapeake's businesses is available at www.chpk.com. For further information, please contact Bonnie Erdek at Florida Public Utilities Company, 561.838.1766 or email nwflorida@fpuc.com.

About Rayonier

Rayonier (NYS: RYN) is a leading international forest products company with three core businesses: Forest Resources, Real Estate and Performance Fibers. The company owns, leases or manages 2.7 million acres of timber and land in the United States and New Zealand. The company's holdings include approximately 200,000 acres with residential and commercial development potential along the Interstate 95 corridor between Savannah, GA and Daytona Beach, FL. Its Performance Fibers business is one of the world's leading producers of high-value specialty cellulose fibers, which are used in products such as filters, pharmaceuticals and LCD screens. Approximately 45 percent of the company's sales are outside the U.S. to customers in approximately 40 countries. Rayonier is structured as a real estate investment trust. More information is available at www.rayonier.com. For further information, please contact Mike Bell at Rayonier, 904.321.5537 or email mike.bell@rayonier.com.

Photos/Multimedia Gallery Available: http://www.businesswire.com/cgi-bin/mmg.cgi?eid=50438807〈=en



Rayonier
Mike Bell, 904-321-5537
mike.bell@rayonier.com

KEYWORDS:   United States  North America  Australia/Oceania  New Zealand  Florida  Georgia

INDUSTRY KEYWORDS:

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