Universal Aggregates Approaches Construction of Power Plant Improvement Initiative Funded Project at Cogen in Virginia

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Researched by Industrialinfo.com (Industrial Information Resources, Incorporated; Houston, Texas). Universal Aggregates LLC, a joint venture between Consol Energy Incorporated (NYSE:CNX) (Pittsburgh, Pennsylvania) and SynAggs, LLC, has selected PJ Dick Incorporated (West Mifflin, Pennsylvania) as the general contractor for a $15 million grassroot synthetic aggregates manufacturing plant. The project, which is receiving funding from the Department of Energy (DOE) as part of the Power Plant Improvement Initiative (PPII) program, will attempt to show the commercial validity of synthetic aggregates derived from spray dryer flue gas desulfurization ash byproduct of coal-fired power plant scrubber systems. The resulting lightweight aggregates can be used in concrete masonry products.

The company hopes to mobilize construction forces on the site in February of 2003. According to schedule, the plant should be up and operating by the end of 2003. The new plant will be located adjacent to Birchwood Power Partners LP's Birchwood power station in King George, Virginia. Birchwood Power Partners is a joint venture between Mirant Corporation (NYSE:MIR) (Atlanta, Georgia) and Cogentrix (Charlotte, North Carolina).

The 240 megawatt Birchwood plant is a true cogeneration plant and utilizes a stoker coal-fired design to provide 1.7 million pounds of steam per hour. Virginia Electric and Power purchases the capacity on a dispatchable basis, while excess steam is supplied to a nearby 38-acre greenhouse complex operated by Dominion Growers. The Birchwood facility began commercial operation in November 1996.

In April 2001, the DOE selected six projects to participate in the PPII program, including the Universal Aggregates project. Other projects focus on particulate control, multi-pollutant control (including mercury), advanced NOx control, and sootblowing optimization.

The PPII is an offshoot of the Clean Coal Technology Compendium. Most of the projects selected for participation involve emerging technologies, environmental upgrades, and improvements to existing or new coal-fired power plants to enable them to be more cost competitive and reliable energy sources. DOE expects to provide approximately $47 million for the six projects. Private sector sponsors are expected to contribute over $55 million, exceeding the 50 percent private sector cost sharing mandated by Congress. Projects will take from two to five years to complete.