On Mon, 07 Nov 2005 21:09:06 -0500, Odinn
wrote:

Sawdust is run through a hammermill to bring it to some uniform size
(whatever size that is supposed to be), run through a drum dryer to
bring it down to about 10% RH. [...]

There seem to be two processses. If you're a "pellet factory" you do it
this way. If you're a sawmill or machine shop looking for disposal you
do it on the cheap. The milling is replaced by a simple screening (if
that) and the moisture/ temperature control is replaced by a few % of
wax or heavy oil binder. This puts up the price per pellet, but reduces
the capital costs. Some presses are also using recycled hydrogenated
vegetable oils (cheap) as a binder.