Sithe Global Power, LLC Desert Rock Energy Project

Desert Rock Energy Project

The Desert Rock Energy Project is a proposed up to 1,500 MW mine mouth coal-fired electric power plant located 30 miles southwest of Farmington, San Juan County, New Mexico. The project would be fueled by low sulfur coal mined from the adjacent BNCC Navajo Mine, and will provide electrical power to utilities in the Southwest. The project is being developed with Dine’ Power Authority which is an enterprise of the Navajo Nation and chartered to promote and facilitate the development of energy projects on the Navajo Nation. The Navajo Nation, through the DPA, has the option to become an equity owner in the project.

The Desert Rock Project consists of up to two 750 MW supercritical coal boilers and steam turbines with an efficiency of over 41%. The project is equipped with a natural draft dry cooling tower. Water consumption is reduced by 80 per cent for this type of cooling versus a typical wet cooled plant.

The project is expected to have the lowest emissions permitted to date in the United States by combining a supercritical coal boiler, advanced flue gas treatment and low sulfur Navajo coal. The project will control over 90 percent of NOx emissions and 98 percent of SO2 emissions. The project will also have the best technology to control over 80 percent of the mercury emissions. The project will be designed to have a heat rate of less than 8,700 Btu/kWh, 15 percent more efficient than similar subcritical plants.

Benefits to the surrounding community

The construction of a $2 billion power plant will make the project one of the largest taxpayers on the Navajo Nation. The estimated annual benefits to the Navajo Nation will exceed $50 million annually, which is more than 30 percent of the current Navajo Nation’s general budget.

The plant will average 1000 employees during the 4 year construction period, and 200 full time personnel during normal operations. The direct and indirect payroll during construction will average $200 million per year over the four year construction period and $20 million per year during plant operations.

The Desert Rock Project is committed to providing over $5 million dollars to impacted Navajo Chapters for capital improvements to Chapter houses, and Senior Centers, as well as Scholarships and job training.