More Cost Overruns Seen At $6 Billion Kemper Plant

JACKSON, MS (AP) — The cost of a $6 billion-plus power plant being built in eastern Mississippi is going up again.

         Mississippi Power said Friday it has identified $25 million in cost increases to complete construction of the plant in Kemper County. And the company said it is reviewing possible additional increases of $20 million to $50 million related to construction, start-up and readiness costs.

         The figures were in a news release and in filings the utility made with the federal Securities and Exchange Commission and the Mississippi Public Service Commission.

         In October, added construction costs of $496 million were announced.

         The plant is supposed to turn soft lignite coal into a gas, burn the gas to generate power and extract chemicals to reduce pollution.

 

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