TAFT ANNOUNCES ASSISTANCE FOR OHIO’S FIRST IGCC ELECTRIC GENERATION FACILITY
$565 Million Project Will Create 104 Jobs in Lima

FOR IMMEDIATE RELEASE
February 23, 2004

Columbus, OH -- Governor Bob Taft today announced that the Ohio Tax Credit Authority has approved a Job Creation Tax Credit valued at more than $1.1 million for Lima Energy Company. The company plans to construct a $565 million electric generation facility in Lima (Allen County) that will create 104 full-time jobs.

“This project represents Ohio’s future as a technology leader, and more than 100 new high-tech jobs for Lima,” Taft said. “I commend Lima Energy Company for its vision in utilizing a clean coal technology in the production of electricity. Not only will this facility be the first of its kind in Ohio, but also the largest and most environmentally clean Integrated Gasification Combined Cycle (IGCC) plant in the nation.”

Lima Energy Company (LEC) is a wholly owned subsidiary of Global Energy, Inc., an international environmental energy technology company based in Cincinnati. The Lima facility will use a clean coal technology gasification process known E-Gastm, similar to Global’s Wabash River Energy plant in Terre Haute, IN. Gasification technologies represent a tremendous breakthrough for environmentally friendly electricity production, and will release less than half the emission limits recently placed on conventional coal plants.

Lima Energy Company will construct its facility on a 63-acre, former brownfield site that was cleared of deteriorated structures, and cleaned environmentally under the Ohio EPA’s Voluntary Action Program (VAP). The electric generation operation will use E-Gas technology to produce synthetic gas to generate 540 MW of electric power. The plant will utilize approximately 5,000 tons of solid fuel per day. The plant will initially use petroleum coke as a feedstock. However, the opportunity to also use Ohio coal could mean jobs for Ohio coal miners. While the primary product will be electric power for the wholesale market, the production and sale of synthetic gas for products such as carbon nanofibers are some examples of the new technologies Ohio is striving for with the Governor’s Third Frontier Initiative.

According to Ohio Development Director Bruce Johnson the State of Ohio is developing further assistance beyond the Job Creation Tax Credit and assistance under the VAP. That could include bond financing from the Ohio Air Quality Development Authority and business development and roadwork grants from the Ohio Department of Development. “This is great example of how we can help take a contaminated site and revitalize it for a productive use,” said Johnson.

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