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Posted on
July 16, 2002Plan for plants altered By Diana Lewis
Nordic Energy pushes back date for groundbreaking, ethanol plant scaled back Nordic Energy is going full steam ahead in its efforts to construct a coal gassification power plant and an ethanol plant in Ashtabula Township, but there have been changes to the original plan.
According to Joni Fixel, director of power supply for the Ann Arbor, Mich.-based company, the $1 billion coal-fired electric plant still is a go as originally planned.
The ethanol plant, however, has undergone several changes, Fixel said.
First, the announced summer 2002 groundbreaking will not happen.
Fixel said the company decided to construct the two plants simultaneously, with a hoped-for groundbreaking in the third quarter of 2003.
Second, both plants will be built on property on Lake Road (Route 531), between Elkem Metals and Praxair.
Third, and probably most importantly, the production ability of the ethanol plant has been cut in half.
Instead of producing 80 million gallons of commercial grade ethanol a year, it will produce 40 million.
That decision, Fixel said, was based on market studies that indicated 80 million gallons would be "pushing it" for this area, Fixel said.
"We are reducing it because of grain transportation costs," Fixel said. "We want to make sure that everything is planned to be successful. And it will still use 15 million bushels of corn a year."
That also means that, instead of 64 employees, the plant will employ 46.
The company is working on its U.S. Department of Energy solicitation, which includes getting letters of support to remit.
"They're making a case to help get funding through the Department of Energy," Fixel said, adding the department "is trying to encourage clean coal technology."
Several political subdivisions, including Ashtabula Township, have sent letters of support.
The solicitations are due Aug. 1, then Nordic turns to the state's Power Siting Board, Fixel said. That application is due in September.
"Then the clock starts ticking," Fixel added. "We'll do our permitting then. There's a lot of work at once."
Even with the changes, Fixel said the plants "are still coming."
"We're just busy now, making this thing happen."
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