In this paper, the location and accessible amount of reeds in the territory of Latgale region were investigated. The reed resources in Lubana Lake were measured and calculated and basing on these results, the potential reed resources in Latgale region were calculated. The potential place for reed recycling factories was determined. The reed resources in the lakes are divided into 4 blocks according to the territorial location in region: Lubana block, Ludza block, Rusona block and Razna block. The biggest part of Ludza block is made by two lakes: Big Ludza Lake and Cirma Lake . The area between those two lakes is the most appropriate for the building of the recycling manufacture. In Rusona block the biggest resources are concentrated in Rusona Lake thus the recycling should be developed near to it. The best location for recycling factory would be in the North-West part of the lake. All reed resources of Latgale region could be recycled in one place, in this case the most appropriate area would be near to Rezekne city. Reeds in Latgale lakes are spread quite irregularly, the greatest density of overgrowth is in the waters of Lubana block. The experimental data shows, that Lubana block is the resource richest in Latgale region. In Lubana Lake one could obtain 7, 8 2 tons of reeds from 1 ha of reed plantation. [10] Total reed resources in the territory of Latgale region are dislocated in 22 lakes and ponds with the total surface area 26 402 ha where 2453 ha are occupied by reeds. The potential bio mass makes 19 248 5247 tons. The amount of heat that can be obtained using reed resources of Latgale region is equivalent to 10 271 tons of natural gas or 8530 tons of petroleum, or 12687-20688 tons of coal (it depends on the heating of coal), or 7438 tons of fuel, or 8443 – 11822 tons of oil.