Summit Secures Construction Contracts for Odessa Project

Summit Power Group has signed engineering, procurement and construction contracts that lock in a construction price of US$2.8 billion for a coal gasification plant in Odessa, Texas.

The 400-megawatt Texas Clean Energy Project plant will include carbon capture technology, according to a statement from the Washington state-based company.

Summit signed an EPC contract with Germany's Selas Fluid Processing and with Korea's SK Engineering & Construction  to build a chemical block capable of producing syngas by gasifying Powder River Basin coal and capturing 90 percent of the carbon dioxide from the process.

The company also signed a contract with Germany's Siemens Energy to build the combined-cycle power plant.

But Summit has missed its anticipated January 2012 groundbreaking date. Financing must be completed and a water source secured before the project can proceed. A completion date of early 2015 is still feasible.