DKRW submits end of quarter report to ISC

Fifteen months into their amendment with the Industrial Siting Council, DKRW’s Medicine Bow Fuel & Power LLC reported on their key events during the first quarter of 2015.

Medicine Bow Fuel and Power LLC is planning to build a coal-to-gasification plant near Elk Mountain. In December of 2013, the Wyoming Department of Environmental Quality (DEQ) Industrial Siting Council approved a 30-month amendment submitted by DKRW Advanced Fuel Company.

One of the conditions of the amendment is to provide a quarterly report on the progress.

Last March, DKRW seemed to take a step backward when they terminated their contract with Sinopec, a Chinese company that was in charge of Engineering, Procurement and Construction (EPC).

Twelve months later, Medicine Bow Fuel and Power is still working with four interested replacement EPC contractors regarding their proposals, according to the report submitted to the Industrial Siting Council.

At the December 2014 meeting, Bill Gathmann, DKRW’s senior vice president of finance, said that DKRW hopes to settle on a single contractor in the next six months.

According to the report’s timeline, DKRW still plans to narrow the EPC arrangements and development of a term sheet before the end of 2015.

Once the EPC is selected, the Front End Engineering and Design (FEED) will need to be updated.

The report also stated that debit financing efforts have continued with the U.S. Department of Energy (DOE) loan guarantee program. “A communication from DOE proposes to include the MBFP project in DOEs 2016 list of projects for potential loan guarantee,” the report stated.

Medicine Bow Fuel and Power is in discussions with two potential equity investors according to the report. They have also had discussions with a company that is interested in co-financing the project with the DOE.

The amendment requires the company to have a construction schedule at the end of the 30-month period.

Who is DKRW?

DKRW is an acronym for four partners who started the company.

“D” is Jon C. Doyle; “K” is Robert Kelly, who is the chair and founder; H. David Ramm is the “R” and Thomas E. White is the “W”.

DKRW has been planning to build a coal-to-gasification plant in the Carbon Basin near Elk Mountain since 2007.