Spring Break
Chemical producer to generate, save power for AK Steel
Lorraine Boissoneault
Issue date: 11/13/09 Section: Community
Air Products and Chemicals, Inc., an international company with a Middletown branch, will be partnering with AK Steel's Middletown Works to produce an environmentally-friendly combined cycle power generation plant.
Air Products, which produces gases and chemicals used around the world, was awarded $30 million by the U.S. Department of Energy to construct the plant, although the company is still in the negotiation stage, Air Products spokesman Art George said.
"The plant takes a waste gas from the AK Steel plant, part of which has traditionally been flared to the atmosphere," George said. "It takes that gas and creates electricity and steam. The electricity will be used at the AK Steel facility, as well as the steam, which will be used to heat a boiler."
The combined cycle power generation plant will be the first of its kind in the United States if the project is approved, George said.
"We'll show that the technology does work efficiently and is able to cut down on emissions," George said. "It will make the waste product useful."
Although Air Products and Chemicals will own the plant, AK Steel will benefit greatly from its construction, according to Alan McCoy, spokesman for AK Steel.
"In essence it will give us 100 to 110 megawatts of energy," McCoy said. "Anytime you can utilize something that's a byproduct or waste stream for beneficial use, we would consider that a green application."
If the project is approved, it will mean an increase in temporary and permanent jobs for residents of Middletown, McCoy said.
"It would create more than 200 temporary construction jobs over the two-year construction period," McCoy said. "There would be long-term jobs created as well, plus it would lower the cost of electricity."
McCoy echoed George's sentiments about the benefits of the plant, saying that the project "has both public and private interests at its core."
"If this is successful, potentially there are a number of other blast furnaces in the USA that are similarly situated," McCoy said. "They could do something similar and have the equivalent of 1,000 megawatts simply from a waste gas stream. That's obviously good for the green energy aspect and good from America's steel making industry. It makes it more competitive."
According to George, negotiations are expected to take several months.
"We'll sit down to further work out scope and cooperative agreements, and if that's OK the project moves on to the next phase," George said, "but there are still some additional steps before it moves forward."
McCoy spoke of other challenges of the project, including the "detailed engineering" that would go into the construction of the plant.
"This is a relatively complex project in that it's going to be a significant new piece of equipment in the middle of our Middletown Works (plant)," McCoy said. "And ultimately the project will hinge on whether or not there's other funding available and how the project will be viewed from a tax standpoint."
Despite the challenges of the project, both men feel that the project would be a beneficial one.
"In my opinion, it has a high likelihood of being successful," McCoy said.
Air Products, which produces gases and chemicals used around the world, was awarded $30 million by the U.S. Department of Energy to construct the plant, although the company is still in the negotiation stage, Air Products spokesman Art George said.
"The plant takes a waste gas from the AK Steel plant, part of which has traditionally been flared to the atmosphere," George said. "It takes that gas and creates electricity and steam. The electricity will be used at the AK Steel facility, as well as the steam, which will be used to heat a boiler."
The combined cycle power generation plant will be the first of its kind in the United States if the project is approved, George said.
"We'll show that the technology does work efficiently and is able to cut down on emissions," George said. "It will make the waste product useful."
Although Air Products and Chemicals will own the plant, AK Steel will benefit greatly from its construction, according to Alan McCoy, spokesman for AK Steel.
"In essence it will give us 100 to 110 megawatts of energy," McCoy said. "Anytime you can utilize something that's a byproduct or waste stream for beneficial use, we would consider that a green application."
If the project is approved, it will mean an increase in temporary and permanent jobs for residents of Middletown, McCoy said.
"It would create more than 200 temporary construction jobs over the two-year construction period," McCoy said. "There would be long-term jobs created as well, plus it would lower the cost of electricity."
McCoy echoed George's sentiments about the benefits of the plant, saying that the project "has both public and private interests at its core."
"If this is successful, potentially there are a number of other blast furnaces in the USA that are similarly situated," McCoy said. "They could do something similar and have the equivalent of 1,000 megawatts simply from a waste gas stream. That's obviously good for the green energy aspect and good from America's steel making industry. It makes it more competitive."
According to George, negotiations are expected to take several months.
"We'll sit down to further work out scope and cooperative agreements, and if that's OK the project moves on to the next phase," George said, "but there are still some additional steps before it moves forward."
McCoy spoke of other challenges of the project, including the "detailed engineering" that would go into the construction of the plant.
"This is a relatively complex project in that it's going to be a significant new piece of equipment in the middle of our Middletown Works (plant)," McCoy said. "And ultimately the project will hinge on whether or not there's other funding available and how the project will be viewed from a tax standpoint."
Despite the challenges of the project, both men feel that the project would be a beneficial one.
"In my opinion, it has a high likelihood of being successful," McCoy said.
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