Coal Creek Station (special to KFGO)
UNDERWOOD, N.D. (KFGO) – After 40 years serving Minnesota cooperative members, North Dakota’s largest power plant will continue operations under new ownership.
Rainbow Energy Center, LLC has reached an agreement to purchase Coal Creek Station from Great River Energy and operate the 1,151-megawatt power plant using current plant employees.
In addition, Nexus Line, LLC has reached an agreement to purchase the high-voltage transmission system that extends between central North Dakota and Minnesota from Great River Energy.
Rainbow Energy Center and Nexus Line are affiliates of Rainbow Energy Marketing Corporation of Bismarck.
The purchase of Coal Creek Station and the transmission system is expected to close later this year, after required approvals are obtained.
Rainbow Energy Center said it plans to focus on baseload energy from Coal Creek Station with carbon capture and incremental generation from renewables to fully utilize the capacity of the transmission system.
“Carbon capture and storage is vital to continued operation of Coal Creek Station and will be an important step toward Gov. Doug Burgum’s goal for the state to reach carbon neutrality by 2030,” said Rainbow Energy Marketing Corporation President Stacy L. Tschider.
“Purchasing energy and capacity from Rainbow was not in our original plan, but it will serve as a reliable steppingstone in our power supply transition,” said Great River Energy President and Chief Executive Officer David Saggau. “We are excited for what the future holds for the communities surrounding Coal Creek Station, which have been very supportive of the plant. We are proud of the good work of our North Dakota employees and know they will deliver for Rainbow just as well.”
The purchase of Coal Creek Station by Rainbow Energy Center preserves jobs, including jobs at the Falkirk mine, and supports the state and local economy.
The sales and purchase agreements will become the latest step in Great River Energy’s power supply transition. The cooperative plans to add 900 megawatts of wind energy before the end of 2023 and modify the 99-MW coal and natural gas-based Spiritwood Station power plant to be fueled primarily by natural gas.
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