THE ADVENT of artificial intelligence and the development of data centres to support it has spurred the world’s most advanced economies to re-embrace coal.
A realisation inside developed nations, that the energy levels needed to fuel AI’s exponential growth is far beyond their current capacities, has forced difficult decision-making about the dirty fossil fuel.
The US, China, India and Japan have all been quick adjust their positions on the use of coal-fired power generating infrastructure.
This summer Donald Trump announced plans to invest hundreds of millions of dollars to revive the US’ coal industry.
“We will protect 14 coal plants and 42 coalmines, a tremendous number, and build two new coal plants and one massive new export terminal,” he said.
The coal mega-export terminal is earmarked for Oakland in California. The coal-fired generating stations in Alaska and West Virginia will be the first in the US since 2013.
In Japan, Prime Minister Sanae Takaichi recently relaxed constraints on some power plants burning coal. Less-efficient coal-fired generating stations in the country are now allowed to bid in energy capacity market auctions again.
The world added nearly 100 gigawatts (GW) of new coal-power capacity in 2025. Nearly 95 percent of that global growth occurred in China and India, according to the latest annual report from Global Energy Monitor (GEM).
China added 78GW of coal-fired power to its energy mix in 2025, and coal storage yards like this one in Ningbo City are becoming more commonplace across the country. But coal can be co-fired with steam explosion black pellets to help nations meet their climate targets.
While climate commitments may be wavering in the face of national needs for baseload power and energy security, cleaner electricity supplies can still be delivered from the build-out of this new coal infrastructure.
Black biomass fuel pellets provide a way of reducing carbon emissions from coal-fired power plants through their co-firing with the fossil fuel.
When produced correctly, by using technology from leading industrial engineers like Valmet, steam explosion black pellets can produce 23 MJ/kg of energy – a calorific value comparable with many bituminous coals.
Power Wood Canada Corp, in particular, uses steam explosion to manufacture its advanced black pellets from wildfire-damaged waste stream deadwood.
Cleared from Canada’s wildfire plains for pellet production and extensive regional reforestation, the company’s circular economy is able to pass on vast value in carbon credits to end users.
Coal-only generating stations may produce marginally the most power, per volumetric unit of fuel, but co-firing coal with black pellets made by Power Wood compensates companies for efficiency losses.
Steam explosion biomass also has several technical advantages over first generation white pellets – which were essentially only highly compressed sawdust.
Its durable and waterproof nature allows it to be shipped, stored, processed and burned by generating stations in just the same way as coal.
And black pellet biomass made by steam explosion leaves just six percent of the carbon footprint of coal – due to its net zero production process and lower carbon emission levels.
Drop-In Storage and Logistics
Conventional biomass pellets must be transported and stored in specialized, climate-controlled silos because exposure to moisture causes them to swell. The infiltration of any water causes white pellets to lose their structural integrity, and ultimately revert back to being sawdust.
This disintegration of white wood pellets results in significant fuel loss. In large volumes, it triggers a biological fermentation process that leads to spontaneous combustion. It also causes conveyor systems to clog.
Steam explosion exposes and redistributes hydrophobic lignin, making black pellets highly water-resistant. They can be stored in open-air stockyards and exposed to rain and humidity alongside coal, without degradation. This physical durability minimizes dust generation during handling, removing explosion risks in facilities.
Superior Grindability and Pulverization Properties
Standard white pellet biomass is fibrous and elastic, and notoriously difficult to process in traditional coal mills. It causes spikes in mill power consumption, severe mechanical wear and leads to uneven particle size distribution. Expensive plant modifications are needed to process white wood pellets.
Steam exploded biomass is reinforced by the redistribution of lignin. It has much higher mechanical strength than white biomass, with a Hardgrove Grindability Index (HGI) approaching that of coal.
Power generating stations can feed black pellets directly into existing coal pulverizers. When processed with ball mills and vertical spindles in existing coal infrastructure, steam-treated black pellets fracture cleanly into a fine powder, rather than tearing into strings, with no motor overloads or loss of throughput.
Advanced black biofuel pellets possess all of the positive qualities of coal – high energy density, compatible grindability, total water-resistance – but burning them creates just six percent of coal’s carbon footprint, making them an ideal fuel for carving out an energy transition pathway.
Optimized Boiler Efficiency and Combustion Kinetics
Dropping black pellets into a coal furnace for co-firing with the fossil fuel improves supports stable combustion thermodynamics.
Standard white wood pellets contains large volumes of volatile matter, in the form of fast-burning chemicals and moisture. They cause hot pockets of fire that destabilize furnace burns which become difficult to control. This heat-shock can also crack and rupture furnace boiler pipes.
Steam explosion cooks off those fast-burning chemicals before the pellet reaches the power plant, allowing both fuels to be consumed in synchronization.
Advanced black pellets release their flammable gases at the same speed as coal, and reach and complete their char burn-out phase at the same time as coal. This optimal temperature control eliminates any need for burner re-configuration or modification.
Mitigation of Slagging, Fouling and Corrosion
Low-grade white wood biomass pellets contain elevated concentrations of alkali metals combined with chlorine.
During combustion in facility furnaces their potassium and sodium mineral deposits quickly become volatile at low temperature, and form molten eutectic salts that splash onto furnace walls. These salts form rock-hard slag that corrodes furnace walls, impedes heat transfer and reduces boiler efficiency.
The condensate draining phase of Valmet’s high-pressure steam explosion leaches away most of these water-soluble alkali minerals and chlorides.
Ash produced by advanced black pellets doesn’t melt and splash onto furnace boiler tubes, to leave slagging and fouling. Instead, it resists intense heat to form a dry powdery dust that drops into ash collectors without damage to furnace walls and reducing critical convective heat transfer.
Black pellets manufactured using steam explosion offer much better co-firing characteristics than preceding white wood pellets. Their net calorific value, low volatility, high bulk density, hydrophobicity and Hardgrove Grindability Index make them the perfect match for coal.
To learn more about Power Wood Canada Corp’s advanced steam-treated black pellets, please use the contact details available on this website.