Wood pellets from the plant operated by Statoil and Norske Skog at Brumunddal north of Oslo will be used to heat the Central Hospital for Oppland County in Lillehammer.
A frame contract with Oppland county council covers the sale of roughly 2,200 tonnes of this compressed biological fuel per annum over two years. Around 2,000 tonnes will go to the hospital.
The council thereby becomes the second biggest customer of the Langmoen Trepelletsfabrikk plant after the Agricultural University at Ås south of Oslo, which takes 2,400 tonnes per year. Total annual output from the facility is 8,000 tonnes.
"This is an important contract," says Geir Ove Ropphaugen, Statoil's project manager for energy solutions.
"That's both because the delivery has a substantial size, and because we've secured an exclusive right to supply all the pellets required by the county council over the next two years."
Deliveries are scheduled to begin at the end of 2000.
Earlier called biopellets, wood pellets are produced from forest industry waste. Their energy content is two-five times higher than unprocessed materials.