Abstract: Wood chips, bark, sawdust and other cellulosic products containing unacceptably high quantities of water are dried and enriched in BTU content. The green or freshly cut wood product is immersed in hot oil to dry the wood. After water exits the wood pores as steam, some oil enters these interstices, impregnating the dried wood, thereby increasing its BTU content and improves its storing and burning characteristics. Chips and bark dried in and impregnated with used or waste oil, provide an environmentally acceptable means of disposing of and utilizing used or waste oils. Wood chips dried and impregnated with vegetable oil, provide a clean burning, non-toxic fuel for lighting or starting charcoal and wood.