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02/01/2007

AEP’s Appalachian Power unit says higher-than-expected costs are delaying a revised cost estimate for an IGCC plant it plans to build in West Virginia. AEP’s original estimate for the 630 MW plant was about $1 billion. The company told state regulators it is revising estimates to see what can be done to bring costs more in line with original goals. The company cites higher-than-anticipated costs of concrete, steel and labor and the fact that it is the first IGCC plant to be built to commercial scale.

Exelon Nuclear produced 131.4 billion kWh in 2006 - the fourth consecutive year that the company set a new generation record for a U.S. power plant fleet. Altogether, Exelon’s 17 reactors produced enough electricity last year to continuously power more than 16 million typical American households.

Constellation Energy continues to move toward building as many as five new reactors at existing nuclear sites, with Calvert Cliffs being the first. Constellation and partner AREVA plan to use the 1,600 MW Evolutionary Power Reactor design. The companies are members of the Unistar Nuclear partnership, which has notified the PJM interconnection that it hopes to build one or two reactors at Calvert Cliffs.

Australia’s Xstrata Coal has joined the FutureGen Alliance and committed $25 million to building a near-zero emission coal-fueled power plant in the United States.

The Geothermal Energy Association projects that Nevada is on track to produce more than 1,000 MW of geothermal power over the next three to five years, quadrupling its current geothermal output and making enough electricity to supply about 25 percent of the state’s total needs. The report identifies up to 29 new geothermal power projects under development that could produce up to 853 MW. At more than 1,100 MW, Nevada would be the third largest source of geothermal power in the world.

The fuel cell business unit of Rolls-Royce has launched U.S. subsidiary Rolls-Royce Fuel Cell Systems. Based in Canton, Ohio and partnered with AEP, the business unit will test and evaluate prototype fuel cell systems at AEP’s Dolan Technology Center and Walnut Test Facility near Columbus.

Toshiba will independently develop a boiling-water reactor for nuclear power plants in Japan and elsewhere by 2015 and continue to supply pressurized water reactors. Toshiba has been developing BWRs with General Electric but has decided to go it alone since Hitachi integrated its nuclear reactor business with GE. Last year Toshiba acquired Westinghouse Electric, a leading maker of PWRs.

Southern California Edison has signed an agreement with Alta Windpower Development of Australia to secure an additional 1,500 MW of wind capacity from projects to be built in California’s Tehachapi area. The contract more than doubles SCE’s wind energy portfolio. Oak Creek Energy Systems is a partner in developing, building and operating the projects.

The NUHOMS HD high-heat used-fuel transportation and storage cask developed by AREVA has been approved by the U.S. Nuclear Regulatory Commission for use by utilities operating commercial nuclear reactors, enabling them to store used fuel on site.

Buffalo Energy Partners plans to develop an IGCC power plant in Glenrock, Wyo., that would eventually total 1,100 MW. Permitting is expected to be completed this year with plans for the 275 MW Phase 1 to go into commercial operation early in 2009.

Fairbanks Morse Engine has approved the use of up to 100 percent bio-diesel (B 100) in its opposed piston model 38D 8 1/8 diesel and dual fuel engines for continuous operations.

Babcock & Wilcox has received a contract valued at more than $100 million from Public Service Company of New Mexico to design, supply and erect low NOX burners, baghouses and related equipment on two 550 MW units at the San Juan Station.

The Nuclear Regulatory Commission has renewed the operating license of CMS Energy’s 798 MW Palisades nuclear plant, extending its operation to 2031. Palisades went into service in 1971.

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