As part of the agreement, Arch Coal will supply the plant’s fuel needs for the first 20 years of operation from its Powder river basin operations in Wyoming.
The company said that the Trailblazer Energy Center will act as a strategic source of carbon dioxide for enhanced oil recovery applications in West Texas. Trailblazer will supply the Texas economy with an additional 600MW of clean electric generating capacity.
David Peugh, vice president of business development at Arch Coal, said: “We are enthusiastic about partnering with Tenaska – a successful and highly respected leader in power plant development – to make the Trailblazer Energy Center a reality.
“Trailblazer will harness the most advanced coal-based technologies to supply secure, low-carbon production of electricity to the rapidly growing Texas marketplace. Furthermore, Trailblazer’s success could set the stage for a new generation of power plants fueled with America’s most abundant, reliable and cost-competitive fuel.”
In capturing 85% to 90% of the carbon dioxide emissions from the plant, Trailblazer will emit 70% less carbon dioxide than the natural gas-based power plants.
Moreover, Trailblazer will ship the captured carbon dioxide to the nearby Permian basin, where it will be used to boost oil production and extend the life of that domestic energy resource.
