Tolko Industries Receives Energy Conservation Award for Nexterra Gasification System at Heffley Creek Mill



    VANCOUVER, Dec. 20 /CNW/ - Tolko Industries Ltd. has been awarded a
Canadian Industry Program for Energy Conservation (CIPEC) Leadership Award for
switching from natural gas to clean burning synthesis gas produced by
Nexterra's biomass gasification system at Tolko's Heffley Creek plywood mill
in Kamloops BC.
    "Tolko has demonstrated the kind of commitment to energy efficiency that
is truly a model for Canada's industrial sector," said David Anderson,
Parliamentary Secretary to the Minister of Natural Resources, Gary Lunn. "I
thank you for your role in helping Canadians use less and live better."
    In 2005, Tolko partnered with Nexterra Energy to design and build a
gasification system that converts low value wood waste into "syngas" which is
used as a fuel to replace natural gas at the Heffley Creek mill. The new
system, which has logged over 10,000 hours of operation since it opened in
2006, reduces greenhouse gas emissions at the plant by 12,000 tonnes annually
and displaced $1.5 million in natural gas this year.
    "Increasing our competitive advantage by reducing our operating costs was
a primary goal for Tolko," said Michael Towers, Manager, Tolko Energy Supply
and Systems. "To do it in a way that also dramatically reduced our greenhouse
gas emissions really made it a win-win solution for us. Having our efforts
recognized with such a prestigious award is a source of pride for everyone at
Tolko."
    "We congratulate Tolko for their commitment to becoming energy
self-sufficient," said Jonathan Rhone, President and CEO of Nexterra Energy
Corp. "Tolko has been a great partner on this project. The plant at Heffley
Creek has demonstrated that our gasification technology enables customers to
both improve their bottom line and also reducing their impact on the
environment."

    About Tolko Industries Ltd. - Tolko Industries is a private,
Canadian-owned forest products company based in Vernon, British Columbia with
approximately 4,000 employees. Tolko is a major producer and marketer of
lumber, veneer, plywood, oriented strand board, and kraft papers, with
manufacturing operations across Western Canada. The Company's Woodlands
operations have received third-party certification of their sustainable forest
management systems. www.tolko.com

    About Nexterra Energy Corp. - Nexterra is a leading developer and
supplier of advanced gasification systems that enable customers to
self-generate clean, low cost heat and/or power using waste fuels at
institutional and industrial facilities. Nexterra gasification systems provide
a unique combination of attributes including design simplicity, reliability,
versatility, ultra-low emissions, low cost and full automation to provide
customers with a superior value proposition compared to conventional
combustion solutions. Nexterra is a private company based in Vancouver, BC,
Canada. www.nexterra.ca

    About Canadian Industry Program for Energy Conservation Program -
Administered through Natural Resources Canada, CIPEC is a partnership between
industry and the federal government to promote the efficient use of energy.
The CIPEC Awards recognize Canadian organizations for their significant and
innovative contributions to energy efficiency.





For further information:

For further information: Nexterra Energy Corp., Raymond McAllister,
Director of Communications, Tel: (604) 637-2507, rmcallister@nexterra.ca;
Tolko Industries Ltd., Mike Towers, Manager, Tolko Energy Supply & Systems,
Tel: (250) 545-4411, michael.towers@tolko.com

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Nexterra Systems Corp.

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