Enligna US Inc., the U.S. subsidiary of Germany-based Enligna AG, will locate its U.S. headquarters and a wood-pellet manufacturing plant in West Sacramento, California, according to the Sacramento Business Journal. The company, which has manufacturing facilities in Germany and Nova Scotia, Canada, plans to begin operations by the end of 2010 with an initial work force of 35 people. The plant is expected to produce approximately 170,000 tons of wood pellets per year, which will be used as a coal substitute at power plants. "This next-generation clean-energy project is a good fit with the Port of West Sacramento's green growth strategy," says Lutz Glandorf, president of Enligna US, quoted in the Journal. "Our project will use waste wood from orchards in the region and help provide an environmentally sound alternative to the burning of wood debris in nearby national forests." Enligna will occupy a portion of space leased by Yara North America, a fertilizer importer that is leaving its space at the port in March; Enligna plans to lease about 200,000 square feet of their space.