Bio-coal maker 4Energy sees tenfold surge in sales

Bio-coal maker 4Energy sees tenfold surge in sales Belgian bio-coal maker 4Energy Invest blu-ray copyexpects earnings to rise 10 percent in the second half of 2010, and sees sales up tenfold within four years on a surge in demand for the CO2-neutral fuel.

The firm, which makes electricity and bio-coal by burning waste wood, is planning a major international expansion and has opened an office in Brazil, is building a site in Ham, in Belgium, and is looking at sites in Germany and the UK.

"Turnover we should reach it multiplied by ten (within three to four years)," Chief Executive Yves Crits told Reuters on Friday during an interview at its main power plant in Amel, on the border between Germany and Belgium.

4Energy floated in 2008 at just over 6 euros and peaked later that year at just over 7 euros before falling in the recession. While trading around 5 euros for most of this year, it should post further gains on the expansion plan.

"What we have done is to anticipate the roll out of the technology by already introducing the permit file in Ham, the permit file in Germany, by already creating the office in Brazil, by having negotiation with groups in other parts of the world," he said.

The company began life in 2005 producing energy for the wood industry in the forests around Amel, but its role as a bio-coal pioneer resulted in it being approached to set up plants in countries as far afield as Brazil and New Zealand.

"We were contacted by (people in) New Zealand, they contact us. As the first mover we have enjoyed high visibility and we want to keep this first mover advantage," said Crits.

Earnings before interest, tax, depreciation and amortization (EBITDA) tumbled to 2.8 million euros ($3.78 million) in 2009 compared with 4.3 million blu-ray copyin the previous year, hit by falling energy prices.