Active Energy PLC (LON:AEG) has confirmed it has been formally issued with two five-year commercial timber permits by the Canadian authorities.

Shares in the AIM company were suspended on Friday while it waited on clarification from officials following reports in a local newspaper that no permits had been issued.

READ: AEG moves to reassure investors over timber permits

But Active confirmed today that the Ministry of Fisheries and Land Resources of the Crown Province of Newfoundland and Labrador has now awarded the two permits.

The licences allow the group to cut 100,000 cubic metres a year, which it will then use to provide the raw material for its biomass technology, CoalSwitch.

“The board of Active Energy is delighted with this outcome and we are looking forward to working with the Ministry in Newfoundland. Further announcements will be made as appropriate,” said chief executive Michael Rowan.

Shares jumped by a third to 1.64p on their return from suspension.