Charleston West Virginia Economic Development

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Friday, March 16, 2007

AEP Announcement


Charleston Daily Mail

AEP to install carbon capture system at plant
George Hohmann

Daily Mail business editor Thursday March 15, 2007

American Electric Power today announced it will invest $50 million to $70 million to install a carbon capture system at its Mountaineer Plant at New Haven in Mason County.
It will be the first use of carbon capture technology on a commercial scale.

The company's announcement came one day after the Massachusetts Institute of Technology released a study saying the reduction of carbon dioxide emissions from coal-fired power plants is crucial if coal is to continue playing a dominant role in the electric power generation.
Michael Morris, American Electric Power's chairman, president and chief executive officer, said in a prepared statement, "AEP has been the company advancing technology for the electric utility industry for more than 100 years. This long heritage, the backbone of our company's success, makes us very comfortable taking action on carbon emissions and accelerating advancement of the technology.

"Technology development needs are often cited as an excuse for inaction," Morris said. "We see these needs as an opportunity for action.
"With Congress expected to take action on greenhouse gas issues in climate legislation, it's time to advance this technology for commercial use," he said.
AEP said it has signed an agreement with Alstom for post-combustion carbon capture technology using Alstom's Chilled Ammonia Process. The technology will be installed on the 1,300-megawatt Mountaineer Plant as a 30-megawatt product validation in mid-2008, where up to 100,000 metric tons of carbon dioxide will be captured per year.
The captured carbon dioxide will be designated for geological storage in deep saline aquifiers at the site, AEP said. Battelle Memorial Institute will serve as the consultant for AEP on geological storage.

Following the completion of product validation at Mountaineer, AEP will install Alstom's system on one of the 450-megawatt coal-fired units at its Northeastern Station in Oologah, Okla., the company said. Plans are for the commercial-scale system to be operational at Northeastern Station in late 2011.

The company said it expects to seek funding from the U.S. Department of Energy to help offset some of the costs of advancing the carbon capture technology.
Contact writer George Hohmann at 348-4836.

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