Air Pollution Control Equipment Services, Emissions

Peabody wins air permit for Prairie State Energy

30 August 2006 — Peabody Energy Corp. recently won approval of an air permit from the U.S. Environmental Protection Agency’s Environmental Appeals Board, bringing Peabody a step closer to building a 1,500 MW coal-fired power plant.

The air permit is for Prairie State Energy plant, a $2 billion project near Lively Grove, Ill. It is a sister project to Peabody’s planned Thoroughbred Energy Campus in Muhlenburg County, Ky. Prairie State expects to sell electricity on a long-term basis to other energy suppliers such as utilities, co-ops and municipals.

With the final approval of the air permit, Prairie State can move forward with selection of construction and operating partners as well as financing.