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Gold/Mining/Energy : AEP: American Electric Power
AEP 120.33+0.3%3:59 PM EST

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From: Copperfield8/2/2001 7:12:47 PM
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AEP, Buckeye Power to control Ohio NOx emissions
COLUMBUS, Ohio, Aug 2 (Reuters) - American Electric Power Co. Inc. (NYSE:AEP - news) and Buckeye Power Inc. plan to spend about $200 million to control nitrogen oxide (NOx) emissions at their jointly owned Cardinal power plant in Brilliant, Ohio, AEP said Thursday.
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When in operation, the selective catalytic reduction (SCR) systems will reduce NOx emissions at the plant by about 90 percent as part of the companies' effort to comply with new U.S. Environmental Protection Agency regulations.

Construction of SCRs for the plants three generating units is expected to be completed by May 2003, in time for that summer's ozone season.

Cardinal Units 1 and 2, each with a generating capacity of 600 megawatts, are owned by Buckeye Power, which expects to spend about $135 million to install the NOx controls. Unit 3, with a capacity of 630 megawatts, is owned by AEP, which expects to spend $65 million.

AEP ProServ Inc., an AEP subsidiary, will manage the SCR construction project for all three units at Cardinal, located along the Ohio River in eastern Ohio.

Cardinal Plant, which began operation in 1967, represents the first-ever alliance of an investor-owned electric utility, AEP, and a member-owned electric generating and transmission company, Buckeye Power, an organization of 25 rural electric cooperatives, to construct and operate a power station to serve their respective electric customers.

``Units 2 and 3 at Cardinal Plant represent all of Buckeye Power's currently operating generating capacity,'' said Richard Byrne, president of Buckeye Power. ``Installing SCR systems on each of these two units will enable Buckeye Power to be in full compliance with the U.S. EPA's new regulations that require reductions in nitrogen oxide emissions.''

SCR uses a chemical reaction to break down the NOx present in the exhaust gases that are released during the coal combustion process. The NOx is broken down into elemental nitrogen and water.
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