Drax has extended its wood pellet shipping contract with Ultrabulk through March 2031, with a mechanism to reduce carbon emissions year on year from sea freight journeys, according to Drax.
The agreement follows the first UK arrival of the M.V. Ultra Yorkshire, a Handymax carrier operated by Ultrabulk, which completed its first transatlantic voyage carrying over 29 thousand tonnes of biomass pellets from the Port of Greater Baton Rouge to the Port of Liverpool. The cargo is set for rail transport to Drax Power Station in Selby.
Drax said the vessel ran on B100 biofuel for the Baton Rouge to Liverpool leg. The company estimated the voyage produced around 90% less CO2 than standard maritime fuels such as VLSFO or ULSGO.
Drax Power Station uses biomass pellets to generate renewable power and supplied about 5% of the UK’s electricity in 2025. Drax has set a target to reach net zero across its value chain by 2040, including emissions from shipping and transportation.
In 2024 and 2025, Drax signed agreements for GB Railfreight and DB Cargo trains serving Drax Power Station to run using hydro-treated vegetable oil, which Drax estimated reduces rail freight emissions by around 90%.
