By adding a pellet mill and STELA’s RecuDry® system, Conner Holdings turned sawmill waste into a profitable, export-ready fuel.
Challenge:
At its Homerville, Georgia facility, Conner Holdings set out to strengthen its core sawmill business by adding on-site pellet production – turning residuals into revenue. The goal: convert residual wood byproducts, once treated as waste, into high-quality wood pellets for export. By taking control of its residual stream, the company aimed to reduce waste, create stable revenue, and ensure greater economic stability.
Conner Holdings also set its sights on the European pellet market, where strict sustainability criteria govern sourcing, emissions, and energy inputs. These requirements introduced a new layer of complexity. The company needed a drying system that could handle the unique challenges of Southern Yellow Pine, known for its high resin content, while keeping operational emissions and fuel use to a minimum.
Executing this vision required the right technology – and the right partner. That partner was STELA, a family-owned company based in southeastern Germany. The collaboration between STELA and Conner Holdings – one in Georgia, the other in Germany – brought together practical industry experience and innovative engineering across continents to make the project a success.
Solution:
Conner Holdings turned to the patented RecuDry® BTU 1/6200-36 low-temperature belt drying system to support its pellet production goals.
The system is reducing the moisture content of Southern Yellow Pine byproducts – including wood chips and shavings – from 45% to 10%, enabling consistent pellet quality while helping to lower emissions and improve process efficiency.
With an energy input of 21.5 MMBtu, the system evaporates 10.1 short tons (9.2 metric tons) of water per hour, delivering a thermal efficiency of 1,060 Btu per pound (2,337 kJ per kilogram) of water evaporated – a performance level that significantly reduces energy consumption and supports long-term operational savings.
The RecuDry® system was selected for its high efficiency and its ability to deliver a lower-operating-cost drying solution. Compared to the already efficient BT system, it uses more than 30% less fuel, a critical factor for Conner Holdings, which opted for natural gas (NG) as a controllable and operationally flexible heat source. While natural gas offers startup ease and reliability, it can impact sustainability ratings. By combining natural gas with RecuDry®’s high-efficiency heat recovery, Conner Holdings achieved a significant boost in the sustainability score of their pellets, improving the product’s marketability in Europe.
Result:
The Homerville project demonstrates how a traditional sawmill can evolve into a more sustainable and resilient operation. With the STELA RecuDry® system in place, Conner Holdings now converts sawmill residuals into a sellable, sustainable fuel source, enhancing profitability while minimizing environmental impact. The on-site addition of pellet production enhances operational efficiency and strengthens the company’s long-term business resiliency in a competitive global marketplace.
STELA’s modular design and patented heat recovery technology helped Conner Holdings meet its dual goals of economic resilience and sustainability. The successful deployment also opens the door for other sawmills across the U.S. to rethink their approach to residual management.
“STELA has really been a good partner for us, that’s the biggest thing…being partnered up with somebody who stands behind their equipment – with STELA that’s the case.” – Steve E. Conner, Owner
Conclusion:
The Homerville facility demonstrates how low-temperature belt drying with heat recovery is shaping the future of a traditional Southeastern U.S. sawmill. By choosing STELA, Conner Holdings gained control of its residual stream, reduced operational emissions, and improved its product’s appeal in international markets, all while setting a new benchmark for pellet drying innovation.
This project also marked three significant firsts:
- The first belt dryer used for pellet drying in the Southeastern United States
- The first deployment of STELA’s patented RecuDry® low-temperature belt dryer with heat recovery in the U.S.
- The first time STELA has dried Southern Yellow Pine – a particularly complex feedstock due to its high resin content
About Conner Holdings:
Conner Holdings is a vertically integrated forestry and wood products company based in Homerville, Georgia. The family-owned business manages timberland and operates sawmills throughout Georgia’s Pine Belt region. Specializing in Southern Yellow Pine, Conner Holdings supplies high-quality graded lumber. With a commitment to resilience and innovation, the company is expanding into pellet production to increase value, reduce waste, and meet growing demand for sustainable wood-based fuels.