FWIW, some more fun with numbers.
Heaterman: Pellet heat content is generally acknowledged to be about 8,250 btu/pound ...
... but Passion states the pellets are at 7,500 btu/lb.
Using 8,250 btu/lb, this would be about right at an assumed MC of 5%. Wood HHV at 0% MC is 8,660 btu/lb, HHV at 20% MC is 6,930 btu/lb, so at 5% MC HHV would be 8,230 btu/lb. I'm assuming that 5% "as delivered" probably is pretty close.
Energy in Wood
The MC would increase to the equilibrium point the longer the pellets are stored before burning. The amount of increase would depend upon local conditions, but if stored at 40F and 30% relative humidity, the equilibrium point would be 6.3% MC.
Equilibrium
Starting with available energy of assumed 8,250 btu/lb, and ignoring equilibrium MC, the next calculation is to adjust for boiling off the 5% MC plus the water generated during combustion and further adjusting for the increase in temperature from the pellet temperature as fed to the boiler (???, but assume 40F) and the flue exhaust temperature, which is stated as being "in the low 200'sF." This water content is 0.05 lb + 0.54 lb combustion water = 0.59 lb total water. Energy to boil water is 1,050 btu/lb, and if exhaust temperature is 240F, the temperature rise is 200F, so btu/lb to boil off the water and raise the temperature is 1,050 + 200 = 1,250 btu/lb. Therefore, net pellet energy delivered at the pellet combustion point is 8,250 - 1,250 = 7000 btu/lb.
The same calculation can be made with cord wood, and the result is 6,050 btu/lb at 20% MC at 400F stack temperature. Energy in Wood.
Based on these calculations and the cost figures given by Heaterman, pellet cost is $0.0945/lb, and still is about 50% the cost of oil and about 63% the cost of LP.
The cost of cord wood varies by region. In my area a cord of seasoned red oak cut, split and delivered is about $170, and at 20% MC the weight is about 3,600 lbs/cord. Btu adjusted cost would be $0.0546, or about 58% the cost of pellets. Of course, handling for stacking, hauling, loading, and burning still is required. Any potential user of any pellet boiler would take into account these factors, as well purchase, installation cost and other costs and benefits, in determining to purchase a pellet boiler or a gasification boiler (with storage), or indeed any other heating appliance.
