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June 6, 2012

Prairie State's Unit 1 Goes Live

June 6, 2012

The Next Generation of Coal-Fueled Energy
Prairie State Generating Company’s Power Plant Goes Live

MARISSA, IL – Unit 1 of the Prairie State Generating Company’s (PSGC) 1600-megawatt power plant went live today, coming under the control of PSGC, a significant milestone in the process of completing the largest coal-fueled power plant to be built in the United States since 1982. The power produced by PSGC will now be scheduled and sold on the power markets by the PSGC Owners for the benefit of municipal and electric cooperative retail customers throughout the eight states in PSGC’s footprint. Unit 2 is expected to move into commercial operations in late 2012.

PSGC’s journey to produce power with Illinois Basin coal began in the early 2000s, a vision of Peabody Energy leadership and public power agencies with a desire to use domestic energy resources to provide stable and competitively priced power for their customers. Designed as the model for the next generation of coal-fueled power plants in the United States, PSGC is a coal mine and a 1600-megawatt power plant built together on the same campus, generating wholesale, base load electrical power for its nine Owners.

PSGC Owners are eight Midwestern public power agencies and Peabody Energy. Public power agencies are operated by local government boards to provide communities with reliable, responsible, not-for-profit electric service. The public power communities investing in Prairie State provide electricity to 2.5 million families each year.

The decision by the Owners in 2007 to begin construction of the PSGC was based on sound long-term forecasts showing electricity costs from PSGC would be very competitive with other fuels such as nuclear and natural gas over the anticipated 30+ year life of the facility, which remains the case today, even with some operating delays. Additionally, coal-fueled electricity prices remain stable and reliable compared with the historic volatility of natural gas prices. Prairie State’s public power owners and Peabody Energy continue to provide their customer-owners with a safe, environmentally sound, reliable, and cost-competitive electricity resource for decades to come. Final completion of the power plant is scheduled for 2013.

Located in Washington County, Illinois, about 60 miles southeast of St. Louis, PSGC invested $1 billion in environmental emission controls, allowing it to meet and exceed the newest U.S. Environmental Protection Agency (EPA) and state EPA regulations. For more information, please visit our website at

CONTACT: Ashlie Keener Kuehn
TELEPHONE: 618-824-7820
MOBILE: 618-381-2844