Woodland Biomass Innovations, Inc. and Shipley Energy announced a strategic partnership to produce and distribute gasoline made from Pennsylvania wood waste, bringing a low-carbon fuel alternative to gas-powered vehicles. The companies have executed a memorandum of understanding and a commercial term sheet outlining a five-year off take agreement.
Under the terms of the agreement, Shipley Energy intends to purchase and distribute up to 100% of the available gasoline output from Woodland BIO’s planned manufacturing facility in Tioga County. The fuel will meet standard road specifications, making it chemically identical to conventional gasoline and fully compatible with existing vehicles and fueling infrastructure. The transaction remains subject to the execution of a definitive sales agreement.
“We are incredibly excited to partner with a historic, Pennsylvania-based energy leader like Shipley Energy because it means we can keep our entire circular supply chain, and the economic benefits it generates, completely within the Commonwealth,” said Luca Pandolfi, founder and CEO of Woodland BIO. “This collaboration connects rural foresters in Tioga County directly to Pennsylvania drivers, keeping energy dollars local and supporting family-sustaining jobs from the forest to the fuel pump. It proves that we do not need to look outside our state’s borders to build a sustainable, low-carbon future.”
“We are excited to collaborate with Woodland BIO on this innovative energy solution,” said Matt Sommer, president of Shipley Energy. “Providing our customers with access to high-quality, locally-produced renewable fuels aligns with our commitment to energy diversification and sustainability.”
The partnership anchors a localized circular economy by utilizing regional forest residues and sawmill byproducts from Tioga and surrounding counties to produce transportation fuel. This process provides a critical, profitable outlet for low-grade wood, which helps foresters manage sustainable woodlands. At full capacity, the initial facility is modeled to process 1,000 tons per day of woodchips to produce 42,000 gallons per day of low-carbon gasoline, while generating biochar and renewable electricity as valuable co-products.
The Tioga County facility represents the first commercial-scale deployment of Woodland BIO’s integrated gasification and gas-to-liquids technology. Once this initial facility is proven, the modular design is highly scalable and can be replicated in other rural, forested communities across Pennsylvania. This replication strategy offers a model for economic development, potentially bringing sustainable manufacturing jobs to regions with abundant, underutilized biomass resources.
The initial facility is projected to create up to 100 direct, full-time jobs, along with complementary positions in logging, hauling, and maintenance. Woodland BIO has completed its Front-End Loading Phase 2 validation engineering study, funded almost entirely by the community, in conjunction with a PA Agricultural Innovation Planning Grant and a West Virginia University–Pittsburg University pitch competition first-place prize.
This localized energy model has garnered broad bipartisan support from state and local officials. Woodland BIO has also received formal support and validation from key state agencies, including the Pennsylvania Department of Agriculture, the Hardwood Development Council, the Pennsylvania Department of Conservation and Natural Resources, the Pennsylvania State Forester and the Pennsylvania GreenGov Council, which highlighted the fuel’s utility for state fleet operations and supporting state forest health goals.
By aligning local forestry resources with established regional fuel distribution, this partnership provides a practical blueprint for the transition to sustainable liquid fuels. As Woodland BIO advances its engineering design process, both companies are focused on proving that environmental stewardship and economic growth can work hand in hand. Ultimately, this collaboration lays the groundwork for a more resilient, self-sustaining transportation fuel system that benefits all communities.
To learn more about Woodland Biomass Innovations, visit www.woodlandbio.com.
To learn more about Shipley Energy, visit www.shipleyenergy.com.