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Enron Mail |
The only way the coal deal will go forward is if you prove you can get long term supply (pet coke, PRB, other, etc.) for $1.00-1.15/MMBtu delivered to the site. The economics need to show a 8-10% IRR in order to justify the commodity risk.
In addition, we should explore IGCC in Florida. The gas/coal spread is much larger in this market and the proforma economics would be much better.
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