The Boundary Dam Integrated Carbon Capture and Sequestration Demonstration Project is expected to transform the aging Unit 3 at Boundary Dam Power Station near Estevan into a long-term producer of clean baseload electricity, while enhancing provincial oil production and reducing greenhouse gas emissions.

The project will result in capital investment, increased royalty revenues from coal and petroleum production and employment opportunities by extending the life of the coal-fired generating unit for another 30 years, the companies said.

In 2009, SaskPower invited vendors from around the world to participate in a two-stage procurement process. The first stage was used to identify the most promising proposals, with more detailed proposals developed during the second stage. Hitachi Canada was selected following the evaluation process.

SaskPower’s relationship with Hitachi includes work on a variety of generation facilities, including coal, natural gas and wind. Carbon capture and storage is an addition to the list.

The bond between SaskPower and Hitachi was strengthened earlier this month with the signing of a collaboration agreement on low-carbon energy projects during Minister Boyd’s government investment mission to China and Japan.

That agreement will promote cooperation to shorten the path from demonstration project, called Saskatchewan Reference Facility for CCS, which expects funding from Saskatchewan province and federal government, to commercially viable operation, and ensure the development of new technology at a lower cost.