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Looks like pellets might not be selling quite so good

Post in 'The Pellet Mill - Pellet and Multifuel Stoves' started by rowerwet, May 19, 2009.

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  1. pelletdude

    pelletdude Feeling the Heat

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    Thanks BTU for the comments.

    Okanagans are available at Long Pond Pellets in Northeastern Connecticut for $299.00 per ton. The website is www.lppellets.com


    Have a great Memorial Day weekend.

    Helpful Sponsor Ads!





  2. Dougsey

    Dougsey Feeling the Heat

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    BTU- Are the Okanagan's a softwood pellet?
  3. rowerwet

    rowerwet Minister of Fire

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    diesel has gone up in cost due to politicians, the requirements to produce what is now legally certified as diesel have changed, it now has to have a low sulfur content for emissions. That is why the cost has shot up so much, all the refinerys have had to change the blending done to make the final product, and you will pay more for a diesel engine due to the new technology required to burn "clean" using reburning technology or additives in the exhaust system. Once gas goes back to where the politicians want the price ($4) diesel will be cheap again.
  4. NWfuel

    NWfuel Minister of Fire

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    The North Idaho pellet has just received the super premium tag. I believe the same specie of wood plus some larch (tamarack) which has the highest softwood BTU. Are they made in the same mill?

    Thomas
  5. rowerwet

    rowerwet Minister of Fire

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    why not ship them up here? I got more pellets this spring from HD and they were from oregon, from what I read on pelletsales.com website they were shipped to canada, and then on to new england. I wonder how much of the $298/ton I paid was for shipping.
  6. webbie

    webbie Seasoned Moderator Staff Member

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    Please note:
    http://www.hearth.com/econtent/index.php/wiki/Forum_Rules/

    "No blatant commercialism"
    "Of course, commercialism is OK and encouraged in the areas where we post fuel prices – and even to a limited degree in the classified section."

    It is OK to make ONE post about an affiliation or accurately portray who you are in your forum signature.

    It is not OK to be here for the express purpose of promotion of your product - we have many sponsorship programs which accomplish that (and more) for you.

    Thanks!
  7. Chris D

    Chris D New Member

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    I've been sneaking around this forum for about 2 years and I see the same thing over and over. the general train of thought seems to be,"If the pellets are the same price as oil, I might as well buy oil." Why not just stick to the pellets INSTEAD of oil and give the mills IN OUR OWN COUNTRY a bigger chance of success. I've read a handful of horror stories but I honestly don't think EVERY mill,dealer,and supplier are out to screw everyone. IMHO when we change our thinking from "if I'm gonna get screwed, it might as well be with oil." to "hey lets support our own local homegrown companies and no to foreign terrorist supporting oil", We might see a more steady price for pellets. Just please stop with the "PELLETS MILLS ARE GREEDY And SCREWIN ME B.S. " wah wah wah . Foreign oil is alot greedier and remember, pellet mill money was NEVER used to fund the tragedy on 9/11. Thank you for letting me vent..
  8. Chris D

    Chris D New Member

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    Whew!! Now I need a beer. :red:
  9. webbie

    webbie Seasoned Moderator Staff Member

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    Well, things are often much muddier than they seem.
    For instance, a pellet company could be owned by an investment group with lots of foreign owners.
    Your oil is very likely to have come from the US, Mexico or Canada.
    Opium is, and has been, the largest source of revenue for the Taliban and some of Al Queda (especially now)....

    There is some truth in all those slogans...go green, go renewable, etc. etc.

    But the facts remain - that the marketplace....acts in a certain way with hardly ANY exceptions. People have enough to do....at least MOST people, that they are not going to make a big capital investment (pellet stove) and then pay the same or more for the fuel...and deal with the disadvantages, unless they are gonna save a nice buck.

    I have seen this happen numerous times throughout the 30+ years I have burned wood and been in the business.

    Now, I am just the messenger here - so don't shoot me. But most people behave in a sane fashion, and that means they are not going to constantly pay more for less.

    The same will go for other situations - if gas stays cheap, people will buy bigger cars.

    The real solution, IMHO, would be for tax policy (like the coming tax credits, etc) to help even out the fuel costs and allow the alternative energy field to grown without having to worry about being made irrelevant (having rug pulled out) every time oil plummets. The same goes for cars...why do we need 50 MPG cars if gas is $2.20 a gallon? Sure, those who are "green" or very frugal will always try to save, but that is not the majority of the population.
  10. iceman

    iceman Minister of Fire

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    well said.....
    i do get p/o about pellets .....only because when i first started they were 185 ton in a bad winter when there was no supply!! i was getting them end of season because places still had them... 110 bucks a ton ... now prices are 275-300 in may?!?!?!?
    i would still use them if it heated my house as evenly as my furnace... but it doesnt... that was my mistake... instead of dropping the cash on my stove i shoulda spent the extra cash and bought a add on pellet furnace ... but at the time i believed what i was told "oh this will easliy do 2500 sq ft" not..... and now that money is tight for everyone oil at 1.85 or pellets at 300 a ton ...if i have to spend the money one way or the other... might as well keep the whole house warm.. right??? i know its easier .... but honestly and i don't mean to offend anyone but who cares?? if we dont buy from the pellet industry prices will go down ... to much supply.... now everone wants them and no supply... same thing with oil charge 4 bucks a gallon everyone screams then the gov finally gets in and then prices come down....... the pellet people dont care about me and neither do the oil guys... because they are still getting paid one way or the other....... everybody got bailed out but us... right now i want to heat my house cost effectively ... within reason.... if i could heat within 100-200bucks of oil i would do pellets... but check my sig below... i use whatever i can to be warm and save money..... the best thing right now for me is wood... with little pellets and gas and oil...
    that is just me though many have different reasons for their pellet use and i wish everyone the best...
  11. JustWood

    JustWood Minister of Fire

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    $185/ton was when sawmills were getting $5/ton for sawdust now they are getting up to $100/ton for sawdust.
  12. Chris D

    Chris D New Member

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    Im sorry for my rant before. I just figure if we can out mode steam engines for diesel to electric (trains) Why cant we start thinking about outmoding oil for pellets.i think its about time. I need another beer.
  13. Stentor

    Stentor Member

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    Diversify, diversify, diversify is usually good advice whether you are dealing with investments or with energy supplies. As long as we do not go to extremes and punitively tax or give excessive tax credits, we benefit from moderating supply costs. For example, I think there are parts of the country where alternative energy like wind farms can make a small difference overall and I approve of that, but there is no single 100% solution. You're probably not going tos sell a lot of pellet stoves in Hawaii. Let's work on one part of the energy problem here, another there, and another over there....
  14. MoeB

    MoeB New Member

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    And the price of oil is going up -- slowly, but it's going back up. I'm glad I've got my stoves.
  15. iceman

    iceman Minister of Fire

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    isnt that the truth!!! i filled up at 1.56 couple weeks ago now its 1.74-184......
    so i am sitting on 330 gl of oil
    6 cord of wood
    a nat gas line in the house
    and 4 bags of pellets .. trying to get a deal on pellets .... i will prolly end up at hd using a 10% coupon
    cause around here most pellets are still around 289 a ton
    sooooo looks like i might be shutting down part of the house this winter cause i really dont wanna pay 300 a ton
    and if thats the case i might just buy by the bag every two weeks
  16. Amaralluis

    Amaralluis Member

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    What do you think will happen if the oil prices continue to increase??
    Does anyone here think that the pellets prices will not increase accordingly?? If you do I have a piece of the moon to sell you!
  17. Ossy

    Ossy New Member

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    Can't agree with you more on diversifying one's sources of energy...me, I have electric, oil, and now wood pellets. As far as one fuel source versus another, well lets just say in the end it comes down to price competition. I think as consumers, we need to keep the brokers of energy as honest as we can and NOT HELP CREATE MONOPOLIES. With that being said, I do believe energy prices will rebound in the next 2 years. I also believe that the carbon tax will help drive prices through the roof as well. Every aspect of our daily modern lives requires energy in various forms (transportation, food production, medical, etc.) This tax will undoubtedly change the way people consume and spend their finite resources (dollars).

    This may be a good thing in the long run whether one believes in global warming or not. The fact of the matter is that the human population is increasing at an exponential rate. Thus the need and desire for energy will also increase at that rate as well. We also need to think about third world countries and others such as China/India that want to improve their economies at any expense.

    My next home I will design and build myself, it will have alternative wind/solar power as well as wood heat (be it logs or pellets). I think in the long run in will be much more cost effective to generate one's own electric and produce one's own fuel for heat. Thats my two cents for what its worth.

    Ossy
  18. iceman

    iceman Minister of Fire

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    honestly worst case pelltets in my area 350 any higher than that people will use oil or gas elec just cause you can get on payment plans rather than forking over 1150 for 3 tons posibly 1500 for 4 in todays world people just dont have that money laying around anymore...
  19. rowerwet

    rowerwet Minister of Fire

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    Latest Email from pelletsales.com states they are so confident these are the lowest prices of the year that they will pay the difference if prices drop through this october. I still think they are pushing sales hard, either the market isn't what they expected and bought for because of cheaper oil, or alot of stove owners are waiting to buy or don't know this is the best time of year to buy.
    just my 2cents as I already have 6 tons in my driveway.
  20. defield

    defield New Member

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    A point for clarity . . . . .

    My e-mail from pellersales.com states . . . . . "We're also so confident that this will be our best pricing on fuel for the year that we'll credit you the difference if prices drop through October. " Not ". . . these are the lowest prices of the year . . . ."

    The words, ". . .our best pricing . . . ' limits the interpertation to the lowest pricing offered from their company,

    The words ". . . these are the lowest prices of the year . . . ." could be construed by literal nitpickers to mean the lowest prices industry wide, hence, more unearned grumbling about pelletsales.com.
  21. iceman

    iceman Minister of Fire

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    you are right the prices are so high that people are trying to wait it out ....in which it seems might be a bad thing... BUT those people will turn on their furnances this year ... hopefully oil wont sky rocket...
  22. mascoma

    mascoma Feeling the Heat

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    Well a barrel of crude was $35 in march and spot HHoil in my area was still about $2 at that time. Crudes back over $60 currently so it's not looking good. My guess is if HHoil is below $2 come fall it will not help many people because the economy will be back in free fall.
  23. tjnamtiw

    tjnamtiw Minister of Fire

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    To add to the 10% coupon at Home Depot..... Did everyone know that Veterans can get a 5 or 10% discount on EVERYTHING at HD and Lowes? The percentage dpends on the store manager but also on who you get at checkout. I've been getting it on anything for 6 months now and I got out of the service in 1970!. Just ask for the 'Military Discount'. Only twice have I even been asked for ID and I show them my VERY OLD ID card with a 'kids' picture on it. Where have the years gone?
  24. rowerwet

    rowerwet Minister of Fire

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    since gas prices are jumping almost daily around here $1.59 at cumbeland farms in E. Rochester, NH, how soon will HHO follow? the dealers I drive by on my way to work are still below $2/gal. I wonder if they have prebuy contracts with their suppliers like we get?
    Nice to know I have my heat price set for this winter!
  25. imacman

    imacman Guest

    HHO from CODOIL.com has gone up about $.40/gal for delivery to me in the past 3 weeks....it went from $1.85 to $2.25 for 150-299 gal.
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