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Woody biomass feedstock processing, including sorting, drying, and size reduction of biomass to provide standardized reactor-ready biomass to the biorefinery, is crucial to biofuel conversion. This study compares two comminution technology systems applied to woody biomass processing at a depot before being utilized for biofuel production at a biorefinery. The conventional comminution technology, known as the hammermill system, is compared with a rotary shear system developed by Forest Concepts™. Potential economic savings of using the new technology are evaluated by applying a deterministic and a stochastic partial capital budgeting model based on results from an experiment that processed chipped hybrid poplar chips and forest residues with both systems. The stochastic partial capital model estimates that savings will vary between approximately USD 28 and USD 42 per ton of reactor-ready processed biomass, with mean and median values around USD 34 per ton. It is 90% likely that savings will be between USD 30 and USD 39 per ton of reactor-ready processed biomass. The estimated savings are mainly due to differences in input (feedstock) to output (reactor-ready biomass) yields between technologies, affecting feedstock and drying costs. [ABSTRACT FROM AUTHOR]