This study addressed biomass availability, harvesting, transportation, and chipping costs for the production of bioenergy in the Teslin region of Yukon. It revealed that significant volumes of standing timber below 20 cm in diameter at breast height (DBH) exist that could be utilized for bioenergy. These volumes, however, would sustain only small electricity generation capacities; however, a more efficient solution would be to utilize the biomass in district heating applications. The study also estimated harvesting, transportation, and chipping costs of low- and high-mechanized systems. These costs will have to be further validated and incorporated into an investment calculator to assess the feasibility of future bioenergy projects in Teslin.