ATLANTA, June 28, 2017 /PRNewswire/ -- Southern
Company (NYSE: SO) and Mississippi Power today announced the
company is immediately suspending start-up and operations
activities involving the lignite gasification portion of the
Kemper County energy facility. The
combined cycle plant has been serving customers with reliable and
affordable electricity for almost three years. The facility will
continue to operate using natural gas pending the Mississippi
Public Service Commission's decision on future operations.
This action is being taken to preserve the safety and health of
the workforce and safety of the facility, while still retaining the
necessary workforce to operate the combined cycle power plant.
"We are committed to ensuring the ongoing focus and safety of
employees while we consider the future of the project, including
any possible actions that may be taken by the Commission," said
Southern Company Chairman, President and CEO Thomas A. Fanning. "We believe this decision is
in the best interests of our employees, customers, investors and
all other stakeholders."
Southern Company and Mississippi Power believe this is the
appropriate step to manage costs given the economics of the project
and the Commission's intent to establish a settlement docket to
address Kemper-related matters
including the future operation of the gasifier portion of the
project.
"I am extremely proud of the thousands of our employees and the
contractors who have helped construct Kemper," said Mississippi Power Chairman,
President and CEO Anthony L. Wilson.
"The commitment of these individuals to their jobs, the challenges
they have overcome and their dedication to our customers has been
outstanding. The customer is at the center of everything that we
do. We appreciate the communities we are privileged to serve and
the local leaders who continue to support our company and our
employees throughout this process."
The company will fully participate in the proposed settlement
docket to be established by the Commission on July 6. The company will make any future
announcements as to the status of the project based on the outcome
of that process or future Commission action.
About Southern Company
Southern Company (NYSE: SO) is America's premier energy company,
with 46,000 megawatts of generating capacity and 1,500 billion
cubic feet of combined natural gas consumption and throughput
volume serving 9 million electric and gas utility customers through
its subsidiaries. The company provides clean, safe, reliable and
affordable energy through electric utilities in four states,
natural gas distribution utilities in seven states, a competitive
generation company serving wholesale customers across America and a
nationally recognized provider of customized energy solutions, as
well as fiber optics and wireless communications. Southern Company
brands are known for excellent customer service, high reliability
and affordable prices that are below the national average. Through
an industry-leading commitment to innovation, Southern Company and
its subsidiaries are inventing America's energy future by
developing the full portfolio of energy resources, including
carbon-free nuclear, 21st century coal, natural gas,
renewables and energy efficiency, and creating new products and
services for the benefit of customers. Southern Company has
been named by the U.S. Department of Defense and G.I. Jobs magazine as a top military employer,
recognized among the Top 50 Companies for Diversity by
DiversityInc, listed by Black Enterprise magazine as one of the 40
Best Companies for Diversity and designated a Top Employer for
Hispanics by Hispanic Network. The company has earned a National
Award of Nuclear Science and History from the National Atomic
Museum Foundation for its leadership and commitment to nuclear
development and is continually ranked among the top utilities in
Fortune's annual World's Most Admired Electric and Gas
Utility rankings. Visit our website at
www.southerncompany.com.
About Mississippi Power
Mississippi Power, a subsidiary of Southern Company (NYSE: SO),
produces safe, reliable and environmentally responsible energy for
nearly 187,000 customers in 23 southeast Mississippi counties. Mississippi Power ranked
first in the Southeastern Electric Exchange's 2016 Safety
Performance Reports and is consistently recognized as an industry
leader in reliability, customer service and safety. Visit our
websites
at www.mississippipower.com and www.mississippipowernews.com,
like us on Facebook, and follow us
on Twitter, LinkedIn, Google+ and YouTube.
Cautionary Note Regarding Forward-Looking Statements
Certain information contained in this communication is
forward-looking information based on current expectations and plans
that involve risks and uncertainties. Forward-looking information
includes, among other things, statements concerning the outcome of
regulatory discussions and proceedings regarding the Kemper integrated coal gasification combined
cycle project (Kemper IGCC). Southern Company and Mississippi Power
caution that there are certain factors that could cause actual
results to differ materially from the forward-looking information
that has been provided. The reader is cautioned not to put undue
reliance on this forward-looking information, which is not a
guarantee of future performance and is subject to a number of
uncertainties and other factors, many of which are outside the
control of Southern Company and Mississippi Power; accordingly,
there can be no assurance that such suggested results will be
realized. The following factors, in addition to those discussed in
Southern Company's and Mississippi Power's Annual Reports on Form
10-K for the year ended December 31,
2016 and subsequent securities filings, could cause actual
results to differ materially from management expectations as
suggested by such forward-looking information: changes in tax and
other laws and regulations to which Mississippi Power is subject,
including potential tax reform legislation, as well as changes in
application of existing laws and regulations; the ability to
control costs and avoid cost overruns during the development,
construction and operation of facilities, which include the
development and construction of generating facilities with designs
that have not been finalized or previously constructed, including
changes in labor costs and productivity, adverse weather
conditions, shortages and inconsistent quality of equipment,
materials, and labor, sustaining nitrogen supply, continued issues
with ash removal systems or syngas coolers, contractor or supplier
delay, non-performance under operating or other agreements,
operational readiness, including specialized operator training and
required site safety programs, unforeseen engineering or design
problems, start-up activities (including major equipment failure
and system integration), and/or operational performance (including
additional costs to satisfy any operational parameters ultimately
adopted by the Mississippi Public Service Commission); the ability
to construct facilities in accordance with the requirements of
permits and licenses, to satisfy any environmental performance
standards and the requirements of incentives, and to integrate
facilities into the Southern Company system upon completion of
construction; advances in technology; actions related to cost
recovery for the Kemper IGCC, including the ultimate impact of the
2015 decision of the Mississippi Supreme Court, the Kemper IGCC
settlement docket and related legal or regulatory proceedings,
Mississippi Public Service Commission review of the prudence of
Kemper IGCC costs and approval of further permanent rate recovery
plans, actions relating to proposed securitization, satisfaction of
requirements to utilize grants, and the ultimate impact of the
termination of the proposed sale of an interest in the Kemper IGCC
to South Mississippi Electric Power Association (now known as
Cooperative Energy); and the ability of counterparties of
Mississippi Power to make payments as and when due and to perform
as required. Southern Company and Mississippi Power expressly
disclaim any obligation to update any forward-looking
information.
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SOURCE Southern Company; Mississippi Power