Co-owned by Southern Power Co, the Orlando Utilities Commission (OUC), and Kellogg, Brown and Root, the new facility will be located at OUC’s existing Stanton Energy Center near Orlando, in Florida.

The plant will demonstrate a form of integrated gasification-combined cycle technology and state-of-the-art emission controls. The transport gasifier technology to be demonstrated at the plant is unique among coal gasification technologies in that it cost-effectively uses low-rank coals, as well as coals with a high moisture or high ash content. These coals comprise half of the proven US and world reserves.

Announcing the decision energy secretary Samuel W. Bodman said: “Southern Company’s proven combined-cycle approach increases the amount of electricity that can be generated from a given amount of fuel and takes us to the next step in implementing this technology on a wide scale, commercial basis.”

The DoE will provide 41% of the funding, or $235 million, through a cooperative agreement with Southern Power through President Bush’s Clean Coal Power Initiative, a 10-year, $2-billion demonstration programme. Other projects are Excelsior Energy Inc and ConocoPhillips’ 531 MW Mesaba Energy Project at Hoyt Lakes, MN and the Pegasus Technology Project, which combines Pegasus Technologies Inc with NRG Energy.

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