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Released September 29, 2021 | SUGAR LAND
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Researched by Industrial Info Resources (Sugar Land, Texas)--Independent power producer ALLETE Incorporated (NYSE:ALE) (Duluth, Minnesota) is pushing forward with a long-delayed natural gas-fired, combined-cycle (NGCC) project in Wisconsin through an agreement with Basin Electric Power Cooperative (Bismarck, North Dakota), which provides electricity to 2.8 million customers in nine U.S. states. The agreement unites the efforts of two companies approaching the challenges of the U.S. energy market from opposite ends of the carbon spectrum. Industrial Info is tracking $1.7 billion worth of active projects from ALLETE and $1.1 billion worth from Basin Electric, with nearly half of ALLETE's investment attributed to projects in the Great Lakes region.

AttachmentClick on the image at right for a heat map of ALLETE and Basin Electric's active projects, from Industrial Info's Geolocator tool.

ALLETE is selling a portion of its ownership stake in the planned Nemadji Trail Energy Center in Superior, Wisconsin, to Basin Electric Power Cooperative for $20 million. Basin Electric will become a 30% owner in the 550-megawatt (MW) NGCC facility, while ALLETE will retain a 20% stake. Dairyland Power Cooperative (La Crosse, Wisconsin), a separate partner, will retain 50% ownership. Subscribers to Industrial Info's Global Market Intelligence (GMI) Power Project Database can click here for a detailed project report.

"We are pleased to welcome another strong partner to the project in Basin Electric, affirming the important role this facility will play in ensuring regional reliability, while bridging the transition to a clean-energy future as more renewable-energy resources are added to the region's energy supply," said Bethany Owen, the chief executive officer of ALLETE, in a press release.

ALLETE's other projects in the Great Lakes region are more closely aligned with the company's renewable-focused brand. Earlier this summer, the company acquired the Red Barn Windfarm project in Lancaster, Wisconsin, from PRC Wind (Minneapolis, Minnesota). ALLETE continues to seek necessary permits for the facility, which is designed to generate 91.6 MW from 19 wind turbines. Subscribers can learn more from Industrial Info's project report.

In Minnesota, ALLETE plans to begin construction next year on a pair of small-scale solar photovoltaic (PV) projects: the 10-MW Sylvan Solar Plant in Pillager, and the 9.6-MW Laskin Solar Plant in Aurora. The company also is seeking permits for the Northern Wind Energy facility in Lake Wilson, which would generate 120 MW from a series of "low-noise trailing edge" turbines, which are designed to generate energy with a lower auditory impact. Subscribers can learn more from Industrial Info's reports on the Sylvan, Laskin and Northern Wind Energy projects.

Basin Electric is trying to manage its carbon output through projects such as the proposed carbon dioxide (CO2) pipeline in Beulah, North Dakota, which would carry captured CO2 from Basin Electric's Great Plains Synfuels Plant to a geologic storage reservoir being considered several miles away. Dakota Gasification Company, a synthetic natural gas-producing subsidiary of Basin Electric, is seeking permits for the CO2 storage facility, which would be built at a now-defunct coal mine. Subscribers can learn more from Industrial Info's project report.

Also in Beulah, Basin Electric is planning a $15.5 million boiler upgrade for Unit 2 at its Antelope Valley Power Station. The project would replace low-pressure feedwater heaters and tube bundles on the 435-MW tangential-fired dry-bottom boiler. Subscribers can learn more from Industrial Info's project report.

ALLETE is facing a series of hurdles in getting one of its own North Dakota projects off the ground. The company recently acquired the Ruso Windfarm project in Benedict, North Dakota, from Southern Power, a subsidiary of Southern Company (NYSE:SO) (Atlanta, Georgia). Last year, North Dakota's Public Service Commission denied Southern Power a necessary permit to develop the 205-MW project. Officials at the nearby Minot Air Force Base expressed concern that the blinking lights that appear atop wind turbines during evening hours could tip off an enemy to an aircraft's location at night, according to The Bismarck Tribune.

After ALLETE acquired the project, it wrote to the PSC this summer, asking the commission to reconsider the case, according to the Tribune. The PSC granted the request last week. Subscribers can learn more from Industrial Info's project report.

Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, six offices in North America and 12 international offices, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Industrial Info's quality-assurance philosophy, the Living Forward Reporting Principle, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities. Follow IIR on: Facebook - Twitter - LinkedIn.

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