"We are pleased to work with Gov. Parkinson as this proposal meets the baseload needs of the region and will promote the development of renewable energy in Kansas. The proposal will allow our out-of-state cooperative partners to participate in the project in a smaller way while preserving the 200 megawatts needed by Kansas cooperative and municipal utilities. Agreement provisions for wind, biomass and transmission development will promote renewable energy development in central and western Kansas," Watkins said.

Provisions in the settlement (including funding) demonstrate Sunflowers' commitment to develop the Sunflower Integrated Bioenergy Center. The activities of Sunflower Electric and Sunflower Integrated Bioenergy, LLC to advance new algae, biomass, and renewable energy technologies at utility-scale are supported by this agreement with Gov. Parkinson.

The first step in this process, which will be completed by Sunflower's engineering group, is to complete a preliminary evaluation of operational impacts associated with burning the fuel in a power plant boiler. Kyle Nelson, Sunflower's vice president, power production, said, "I have directed the generation engineering group to proceed with this project because I believe it has potential and because we want to support Prairie Fire in their efforts to develop this exciting new fuel source."

After the preliminary evaluation is completed, a sample of biomass from Prairie Fire will be fired in a small-scale test facility. During this step, a chemical analysis of the biomass will be completed to determine how well it would burn when combined with other fuels in a larger boiler.

"This effort is exciting for Sunflower," Nelson said, "especially if we can find a way to supplement our coal and natural gas supplies with biomass produced in Kansas." It is anticipated that the initial effort will provide the partners with the base information needed for subsequent phases of the project. Those future phases might include detailed computer modeling and large-scale test burns in the Holcomb boiler or other existing units.

Brad Applegarth, Prairie Fire's board president, is excited about Sunflower's willingness to further develop their product for power plants. "We are anxious to continue this exploration of the feasibility of using Prairie Fire's biosolid fuel for Sunflower's needs. Our board is convinced of the potential from our partnership with each other, and we are anxious to get this project underway."

Funding for this initial phase of development is being provided by Tri-State Generation and Transmission Association, Inc., Westminster, Colorado, and Sunflower, both partners in the Holcomb Expansion Project.

"This is an important first step in our efforts to demonstrate that coal-based flue gas can be utilized for beneficial purposes," said Earl Watkins, Sunflower's president and chief executive officer. "I look forward to the day when this project is completed, and we are facilitating the production of renewable energy that benefits our agricultural producers in central and western Kansas."

"A mission of the U.S. Department of Agriculture is to promote economic development in rural communities," Moran said. "I am pleased to bring Under Secretary Dorr to southwest Kansas to see firsthand the jobs that will be created through Sunflower's power plant expansion and their work to develop a bioenergy center that will be unique to Kansas and possibly the world. This is an example of how innovative Kansans are, not only expanding local economies, but also answering the national call for more renewable energy."

When completed, the center will involve several subsystems that may include livestock facilities, an anaerobic digester, an algae reactor, an ethanol and a biodiesel plant that are integrated to utilize corresponding waste streams.

Sunflower's President and CEO Earl Watkins recently reported to Sunflower's Board of Directors that this opportunity to work with NISTAC to create the Center is an opportunity that is unprecedented in his experience. "Even though we are vigorously working to complete our Holcomb Expansion Project, this Integrated Bioenergy Center could dramatically improve our ability to help serve agricultural producers and add another level of value to the products they raise in central and western Kansas," Watkins said.

NISTAC's President and CEO Kent Glasscock told Sunflower's Board that he sees this project will be the first of its kind. "Our goal at NISTAC is to create a value proposition—we strive to find ways where technology can be utilized to create wealth." He added, "This project is based on the cutting edge of integration; I know of no other place in the world where renewable energy technologies will be efficiently utilized like our goal is for this project."