Black Hills wins EPA air permit for new 132 MW natural gas-fired power station

By Dorothy Davis 

Utility subsidiaries of Black Hills Corp. (NYSE:BKH) have been issued an air permit from the U.S. Environmental Protection Agency (EPA), clearing the way for the construction of a new 132-megawatt natural gas-fired power plant in Cheyenne, Wyo.

According to the announcement, the new $237 million Cheyenne Prairie Generating Station will consist of a 37 megawatt simple-cycle combustion turbine owned entirely by Cheyenne Light and a 95 megawatt combined-cycle combustion turbine jointly owned by Cheyenne Light and Black Hills Power. 

“Receipt of the final permit needed to commence construction on the Cheyenne Prairie Generating Station represents a substantial project milestone. The plant is only the second in the nation to receive a greenhouse gas air permit from the U.S. EPA This generation facility is a key component of our strategy to provide cost-effective, safe, reliable service to our customers while balancing changing environmental regulatory demands, economic development needs and an increasing demand for energy,” said David R. Emery, chairman, president and CEO of Black Hills Corp.

Construction is slated to commence in April 2013 with operations anticipated to begin in the fourth quarter of 2014. The selection of contractors is already under way.

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