ST. LOUIS, Oct. 11 -- Peabody Energy (NYSE: BTU)
today said the Commonwealth of Kentucky has issued an air permit for the
Thoroughbred Energy Campus, a planned 1,500-megawatt coal-fueled electric
generating station in Muhlenberg County. Upon its completion, Thoroughbred
will provide low-cost, low-emissions electricity in the Southeast and Midwest
regions. Thoroughbred would also create hundreds of jobs and bring
significant economic benefits to Western Kentucky. Thoroughbred will provide
electricity for approximately 1.5 million families.
The Thoroughbred Energy Campus will include two 750-megawatt generating
units fueled by up to 6 million tons of coal per year produced from an
adjacent mine. The Thoroughbred project team is currently marketing the power
for future delivery to utilities and industrial customers throughout the
region. Depending on when long-term customers and partners are signed up,
Thoroughbred could begin generating power in the 2007 timeframe.
"Peabody believes America's need for new baseload generating plants that
are fueled by coal will soon be apparent. The mild weather over the past two
years and soft economy have given America 'an energy mulligan.' If our
country experiences strong economic growth or normal weather patterns, we
believe America's energy supplies will be severely taxed," said Peabody
Executive Vice President for Corporate Development Roger B. Walcott Jr.
"Coal-fueled electricity enables more people to live longer and better, and
Thoroughbred will help America fulfill its energy needs by producing low-cost
electricity to aid Midwest families, accelerating Kentucky's economic growth
and demonstrating low-emissions technology in modern coal generating plants."
Designed with advanced environmental controls, Thoroughbred is expected to
be among the cleanest major coal-fueled plants east of the Mississippi River.
The plant's emissions will be far lower than current Clean Air Act standards,
with sulfur dioxide and nitrogen oxide emissions that will be 86 and
84 percent below the current Kentucky coal plant average, respectively.
Thoroughbred also will offer an outreach program to local colleges and
universities to provide research opportunities involving energy and
environmental engineering, carbon management and biofuel production. The
outreach program's objective is: 1) to increase the knowledge base related to
electricity generation using coal; and 2) to advance Peabody's goal of
continuous environmental improvement in the mining and use of coal.
Thoroughbred is expected to inject more than $3.35 billion into the
Kentucky economy during the life of the project and create $700 million in new
spending in Muhlenberg County. Thoroughbred will create approximately
2,500 local jobs at peak construction, and the campus will create
450 permanent, high-paying jobs, the majority of which are expected to be
local. Once operational, Thoroughbred is projected to annually inject nearly
$100 million into Kentucky's economy.
Peabody Energy (NYSE: BTU) is the world's largest private-sector coal
company, with 2001 sales of 194 million tons of coal and $2.7 billion in
revenues. Its coal products fuel more than 9 percent of all U.S. electricity
generation and more than 2 percent of worldwide electricity generation.
Source: Peabody Energy