Red River is building an environmentally friendly AC production line in North America. The plant, which is being constructed in Coushatta, Los Angeles, is designed to produce 150 million pounds of AC per year. The plant is expected to begin commercial production of AC in May 2010.
In December 2009, the US Department of Energy approved a conditional commitment for a loan guarantee of $245m, subject to the completion of due diligence and the satisfaction of other customary closing conditions, which will be used to help finance the plant. Red River supplies AC to some of the US power companies from its 60 million pound per year processing facility located in Natchitoches, Louisiana.
Marilyn Treacy, senior vice president of sales and marketing at ACS, said: “This AC contract will enable our customer to meet mercury regulations in Eastern Canada. As we approach the initial start up of our AC plant, our customers welcome our entry into the market and acknowledge the advantages of contracting with ACS for their AC requirements for mercury emissions.
“With our current contracts, we are supplying customers from the Southwestern and Southeastern regions of the US to Western and Eastern Canada and plants in between. We are delighted that we have been given the opportunity to bring our technical knowledge and resources to support the coal-fired industry in meeting the mercury emissions standards of a new era.”