The £18m ($26m) design-and-build contract will see C Spencer Limited supply Drax with rail unloading equipment and biomass bulk storage and handling systems to feed its direct-injection biomass co-firing systems.

'Co-firing' involves burning renewable, carbon-neutral biomass along with coal in order to generate electricity, reducing CO2 emissions.

Alongside an existing biomass facility it owns, the plant will give Drax a total co-firing capacity of 500MW.