LOOK INSIDE FOR MORE FACILITY AND COMMUNITY UPDATES Fourth Quarter 2014 PROGRESS REPORT SOUTHERN COMPANY SIGNS MOU WITH LARGEST POWER GENERATION COMPANY IN CHINA Southern Company has signed a memorandum of understanding with China’s largest power generation company, making it the third such agreement signed this year. United Kingdom and the United Nations. The MOU with the China Huaneng Group highlights continued international interest in 21st century coal technologies being deployed at the Kemper County energy facility. As the largest power generation company in China, the China Huaneng Group has more than 140,000 megawatts of installed capacity. Energy demands in China, India and other parts of Asia continue to grow. Companies in these regions can benefit from the use of low-rank coal, such as the lignite that will be used at Kemper. Low-rank coal constitutes half of the world’s coal reserves. “This memorandum of understanding is another sign that this technology could be applicable around the world,” Mississippi Power CEO Ed Holland said. “Coal will continue to be a major factor in energy production worldwide for decades, and there is a tremendous amount of interest in producing cleaner energy.” “The ability to efficiently generate power from low-rank coal is particularly attractive in places like China, where natural gas prices are much higher than in the U.S.,” said Southern Company CEO Tom Fanning. “This agreement with Huaneng reflects our company’s belief that the technology being deployed at Kemper could help meet the world’s energy needs.” In fact, over the last year, a growing number of international energy leaders and government officials have toured the Kemper facility. Those visitors include representatives from dozens of nations, including China, Japan, Norway, the Earlier this year, the company signed similar agreements with the Shenhua Group and The Clean Energy Research Center, an affiliate of Huaneng. NEW KEMPER V.P. MORE PLANT PHOTOS INSIDE. At the top of the gasifier, six baghouses collect dust and reduce particulate emissions. Piping at the top of the tripper floor, where lignite enters the gasifier. KEMPER COUNTY COMMUNITY KEMPER STEAM BLOWS SUCCESSFULLY COMPLETED One of the key activities for the Kemper County energy facility’s startup process has been completed in less than half the time originally expected, with no major issues detected and, more importantly, no accidents or injuries. On Nov. 21, Kemper team members began a procedure estimated to last up to 31 days performing 48 “steam blows,” the process of blowing steam through pipes to ensure they are clean, tight and leak free. “The steam blows were completed after just 12 days,” Joe Miller, Kemper project director said. “The reduced time can be attributed to exceptional planning, outstanding team work, the craftsmanship of the individuals installing the temporary piping, the repeated review of the steam blow procedures, outstanding comm-unication and, more importantly, our insistence that no shortcuts be taken.” With the goal of safety and efficiency, Kemper startup team leaders actually delayed beginning the steam blows due to considerably colder weather in mid-November – time that was easily made up as the effective steam blow process unfolded. The operation began on the gasifier island as steam progressively cleaned piping, and then the process culminated with “target” steam blows. “In target steam blows, polished steel targets are inserted into the steam flow for a 20-minute period,” Miller added. “Then the target is removed and assessed to determine if any material impacted the target. A new target is inserted each time until three successive clean targets are obtained. This process is an industry standard that ensures our high cleanliness specifications are reached.” “We are also very pleased no injuries occurred, which is significant when you consider the amount of hot steam being channeled through 48 different paths,” said John Huggins, Mississippi Power’s vice president for Generation Development. “We are proud of the tremendous effort by the entire Kemper team to accomplish this important milestone.” KEMPER’S OPERATIONS UNIT REACHES SAFETY MILESTONE What does it take to get hundreds of people to work together for four years on one of the busiest, most high profile construction zones in the nation without a single recordable accident? Since construction began in 2010, the plant’s cumulative recordable injury rate is just 0.51 which is “dramatically below” that expected of a project of this size and scope, Sumner said. Considering safety as more than a practice, but a fundamental core value, said Sam Sumner, Kemper County energy facility plant manager. “There are a lot of firsts here, so as we continue to execute commissioning and startup, new activities are being performed almost daily,” he said. The plant’s Operations unit recently celebrated four years without an accident. “We’re telling our folks that if you have a concern or lack of understanding about any task you’re performing or observing, stop the job and get the right people involved to ensure we continue to work safely. Safety is a fundamental core value of ours, and we encourage our employees to speak up if they see something unsafe or know of a way to make something safer,” he added. “Employees here are not only poised to operate this ‘first of its kind’ power plant in the world, but they’re also setting outstanding safety standards that are resonating with each other and throughout our industry,” Sumner said. The lignite dome as seen from the top of the gasifier. Operations employees in the control room. KEMPER PROGRESS REPORT SPOTLIGHT CHIP TROXCLAIR NAMED VICE PRESIDENT OF KEMPER DEVELOPMENT Mississippi Power recently named Emile “Chip” Troxclair vice president of Kemper development, responsible for leading the Kemper County energy facility project through the final stages of construction and startup and into ongoing commercial operation. Combined Cycle power plant. In this role, he was responsible for all operational aspects of the design, commissioning, startup and commercial operation of the plant, and was later promoted to the position of vice president of gasification. Troxclair brings more than 34 years of industry experience, primarily in gasification and power generation, to Mississippi Power. He has held numerous leadership positions throughout his career, including serving as vice president for the gasification technology business for CB&I. Prior to CB&I, Troxclair held similar leadership roles with responsibility for licensing, engineering and operations for gasification technology, which is used to convert coal or petroleum coke into a hydrogen rich, synthesis gas for power generation, substitute natural gas production and chemicals production. “As we move closer to full operation at Kemper, Chip’s vast experience in gasification technology development and deployment, as well as his leadership in startup, operational readiness and plant operations will be instrumental to our ongoing success,” said Mississippi Power CEO Ed Holland. “As a proven leader in managing teams and gasification projects, he understands the complexities associated with IGCC startup and first-of-a-kind projects. Chip will bring that experience to Mississippi Power and lead the team responsible for bringing Kemper online to provide clean, safe and reliable energy to our customers for Troxclair was also involved in the design, startup and operations of Dow Chemical’s first commercial coal gasification facility, and later served as plant manager for Destec Energy’s Wabash River Integrated Gasification decades to come.” Troxclair holds a bachelor’s in electrical engineering from Louisiana State University. He is a native of White Castle, La. MEET KEMPER PROJECT DIRECTOR JOE MILLER Joe Miller was recently named the project director of Kemper startup. In this role, Miller will oversee startup operations at the plant. “My role is to have a big-picture view of the project and deal with commissioning of the project’s components,” Miller said. “I also help coordinate construction and startup activities and oversee budget and staffing.” Miller began his career with Southern Company in 2002 at Southern Power. He joined the Kemper County team in 2011. Prior to joining Southern Company, he worked as a quality leader at General Electric, focusing on process improvement. Originally from New York, Miller says he actually feels right at home in the South. “I’m from rural western New York so this part of Mississippi really reminds me of my home,” Miller said. Miller believes the Kemper facility will be recognized for its innovative technology and is a path forward for the continued use of coal in electricity generation. If he wasn’t working in generation development, he knows exactly what he’d be doing. “Umpiring baseball, absolutely,” Miller said. “After my kids go to college, I will start to officiate baseball again. I’ve done umpiring from Division 1 college all the way down to Little League.” Workers near the interior of the plant in the gas cleanup area. Piping inside the gasifier. There are more than 900,000 linear feet of aboveground piping at the facility. KEMPER PROGRESS REPORT Fourth QUARTER 2014 PLANT VOLUNTEERS DONATE COATS, ADOPT ANGELS Since officially starting up this summer, the Plant Ratcliffe chapter of Community Connection has already undertaken several projects to introduce themselves to their Kemper neighbors. Ahead of temperatures dropping into the low 20s in November, the chapter collected and donated nearly 300 coats to the Kemper County School District. “We heard from Superintendent Jackie Pollock about children in the district needing coats this winter,” Tripp Ward, chapter president, said. “This was a great project for us to take on that will have an immediate impact in the community.” About 75 gently worn jackets were collected on-site and the chapter bought 100 new jackets. G&K Services, which provides fire retardant clothing to employees, donated another 100 coats. “When they found out about the coat drive, the team at G&K Services stepped in and asked how they could help,” Ward said. “It’s great that our vendors at the plant want to make a positive impact in Kemper County too.” When the coats were delivered to the Kemper County School District Office, Pollock said this was the first time a private business had organized a coat drive for students in the county. “This is the first time that we’ve had this type of partnership in Kemper County and we’re excited about it,” Pollock said. “This means a lot to us and we’re thrilled Mississippi Power employees deliver coats to the Kemper County School District. about the support we’re receiving from Community Connection.” The coats were distributed to students at West Kemper Elementary, East Kemper Elementary and Kemper County High School. In December, plant employees took part in the Salvation Army’s Angel Tree Adoption Program. Mississippi Power employees have participated in the program, designed to assist local youth and their families, for several years. In 2014, plant employees adopted 30 angels in Kemper County and delivered clothes, bicycles, toys and other gifts to their angels. Fourth Quarter 2014 PROGRESS REPORT g+ mississippipower.com mississippipowernews.com in
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