Representatives of Southern Company – a power producer in the southern US – are talking with power companies in North Dakota about its clean coal technology – that it’s building at a demonstration plant in Mississippi.
The plant – still under construction – will use a coal gasification technology to generate electricity. And Southern says it will capture 65 percent of the carbon emissions – which can then be used for such things as enhanced oil recovery.
"A lot of the research for the technology that we are using in Mississippi was based on testing North Dakota lignite," said Kimberly Greene, Southern's chief operating officer. "We've actually burned more North Dakota lignite than Mississippi lignite at this point."
Greene says the company believes in an “all of the above” strategy, which includes renewable, nuclear, natural gas and lignite coal.
"Our research in this, and continuing to believe that we need to make coal a viable option for electricity production in the United States, linked up well with the fact that we have lignite coal in our service territory," said Greene. "And it's something we believe is the right decision for our customers. And we believe they will continue to be served well by putting this technology in service."
Greene says Southern is looking to share what it’s learned at its Kemper plant – and possibly partner with a North Dakota company.
Public Service Commission chairman Brian Kalk has toured the plant – and he says with the growing power needs in North Dakota, he thinks companies here will take a good look at the technology. Kalk also says oil companies are interested in using the CO2 for enhanced oil recovery.
"We've got to keep coal in the mix," said Kalk. "With the technology Southern Company has, it seems like a good idea to open discussions with people in North Dakota, and figure out a path forward to use our coal. And if we can make the oil play last not only 20 years, but 50 years, that would be a win-win for everyone."
Greene says while the cost of the Kemper plant is higher than expected, costs to subsequent users of the technology will likely go down. She says the plant should be in service by the first part of 2015.
