Feb. 22--Mississippi Power has made progress on the Kemper energy facility in the last month and on Wednesday extended the expected in-service day to mid-March.
Major milestones were reached in the past month.
"The Kemper facility has achieved the integrated operation of both gasifiers, including the production of electricity from syngas by both combustion turbines," the company said in a statement. "The project has also captured carbon dioxide and placed it in the CO2 pipeline for use in enhanced oil recovery."
On Jan. 6 Mississippi Power said the plant would be operational using lignite by Jan. 31. On Jan. 31 that schedule was revised to the end of February, and now stands at mid-March due to issues with the ash removal system in one of the gasifiers.
"We just need a little bit more time," said Mississippi Power spokesman Jeff Shepard.
The cost of the facility now tops $7 billion and an additional $35 million was added in the last month as an adjustment on the cap costs.
"That's going to be paid by Mississippi Power and Southern Co. and not customers," Shepard said.
Mississippi Power also said Wednesday it has completed the update of the economic viability analysis of the project. It shows that a reduction in projected long-term natural gas prices, and to a lesser extent an increase in operating costs of the project, negatively impact the economic viability of Kemper.
However, Shepard said Mississippi Power intends to continue start-up activities and to complete and operate the project.
The Sun Herald will update this story.
Mary Perez: 228-896-2354, @MaryPerezSH
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