Van Ness Feldman is pleased to announce that its client, FutureGen Industrial Alliance, Inc. (Alliance), today signed a $553 million cooperative agreement with the U.S. Department of Energy (DOE) associated with FutureGen 2.0, the first large-scale oxy-combustion repowering project in the world that will use carbon capture and storage (CCS) technology. FutureGen 2.0 is supported by a $1 billion commitment in federal funding from the American Recovery and Reinvestment Act for the construction of a near-zero emissions coal-fueled power plant in the State of Illinois.
Since 2005, Van Ness Feldman has served as project counsel to the Alliance. Firm member, John Buchovecky led the Van Ness Feldman project team, in working on behalf of the Alliance throughout the negotiations leading to the landmark agreement announced by U.S. Energy Secretary Steven Chu.
FutureGen 2.0 is part of an integrated strategy to repower America’s coal industry. The Alliance will cooperate with Ameren Energy Resources to develop the world’s first commercial-scale oxy-combustion power plant with CCS. The Alliance will have primary management responsibility to site, develop, and operate a permanent CO2 storage site along with a pipeline from the power plant. The CO2 pipeline will run from Meredosia, Ill. to the storage site. The storage site will be designed to accept and permanently sequester more than 1 million tons of CO2 per year with room for future expansion to accommodate CO2 from additional sources. DOE estimates that the combined projects will create more than 1,900 jobs.
Van Ness Feldman’s energy finance and transactions team represents project developers, owners, and investors in a wide range of corporate and strategic matters. In recent years, the firm has helped clients obtain billions of dollars to fund traditional and renewable energy infrastructure projects development, from acquisition and operation, through successful financial disposition. The firm congratulates the Alliance on achieving this milestone agreement. For more information about the FutureGen 2.0 project, please visit the DOE or FutureGen Industrial Alliance websites to read their full press releases.