An important task in forest residue recovery operations is to select the most cost-efficient feedstock logistics system for a given distribution of residue piles, road access, and available machinery. Notable considerations include inaccessibility of treatment units to large chip vans and frequent, long-distance mobilization of forestry equipment required to process dispersed residues. In this study, we present optimized biomass feedstock logistics on a tree-shaped road network that take into account the following options: (1) grinding residues at the site of treatment and forwarding ground residues either directly to bioenergy facility or to a concentration yard where they are transshipped to large chip vans, (2) forwarding residues to a concentration yard where they are stored and ground directly into chip vans, and (3) forwarding residues to a nearby grinder location and forwarding the ground materials. A mixed-integer programming model coupled with a network algorithm was developed to solve the problem. The model was applied to recovery operations on a study site in Colorado, USA, and the optimal solution reduced the cost of logistics up to 11% compared to the conventional system. This is an important result because this cost reduction propagates downstream through the biomass supply chain, reducing production costs for bioenergy and bioproducts.